Procurement Services
Buying Manual
A Supplement to University Policy 3.25, Procurement of Goods and Services
Issue Date: February 9, 2009
Revision Date: July 25, 2024
Buying Manual
A Supplement to University Policy 3.25, Procurement of Goods and Services
Table of Contents
Introduction and Getting Started
General Information
100 Authorized Business Expenses
101 Legal and Ethical Conduct and Purchases for Employees
102 Requirements for Vendor Selection and Order Creation
Paying for Goods and Services that Do Not Require a Purchase Order
200 Introduction to Non-PO Payment Methods
201 Eligible for Direct Payment, with Approval of Authorized Unit
202 Procurement Card
203 Payment by Disbursement Voucher
204 Payment Options for Business Travel
205 Vendor Setup
Credit Card Programs
300 PCard Introduction
301 PCard Eligibility and Dollar Thresholds
302 PCard Prohibited Transactions
303 PCard Documentation Requirements
304 PCard Special Topics
305 PCard Procedures (application, dispute/fraud, lost/stolen, rejected, account changes)
306 PCard Policy Violations
307 PCard Special Considerations for SSC Cardholders
308 PCard Responsibilities
352 University Paid Travel and Meal Card
353 Responsibilities for Travel and Meal Card
The Purchase Order Process
400 Introduction to Purchase Orders
401 Creating a Purchase Order
402 Bid Solicitation and Exemptions (sole source)
403 e-SHOP
404 Cornell Terms and Conditions
405 Insurance Requirements
407 End Users/Units/SSC Relations
408 Sustainable Purchasing
409 Contracts
Purchases with Special Procedures
601 Ethyl Alcohol
602 Entry Permits USDA
603 Isotopes and Radioactive Materials
604 Laminar Flow and Fume Hoods
605 Narcotics
3
606 Orders for Lab Animals and Custom Antibodies
607 Respiratory and Hearing Protection
608 Poison Inhalation Hazards
609 Energy Procurement
610 Requisitioning of Signs
611 Recycling and Disposal of Equipment
612 Use of Cornell Name, Logo & Insignia by Units
613 NY State Appropriated Orders
614 Orders Using Sponsored Funds
615 Artwork Loans and Purchases for the Herbert F. Johnson Museum of Art
616 Editors, Indexers, and Designers for Cornell University Press
617 Export Controls
618 Technology Risk Assessment
619 Graphics Procurement
620 Arts and Sciences’ Concert Series and Performances
621 Student and Campus Life’s Entertainment Contracts
622 External Leases
623 Internal Borrowing Guidelines
624 Small and Diverse Business
625 Cornell Sustainable Campus
626 Surplus Program
627 Chartered Buses and Limousines
628 Controlled Substances
629 Needles and Syringes
630 Human Research Participant Payments
Purchases with Special Procedures: Paying for Services
700 Paying for Services – Getting Started
701 Performing the Service Provider Evaluation
702 Responsibilities Related to the Payment of Services
Shipping and Receiving Procedures
802 U.S. Customs Clearance / Duty Free Entry
803 Receiving & Inspecting Shipments/Freight Claims
803A FOB Terms and Responsibilities
Invoice Processing Procedures
804 Invoice Payment
805 Freight Bills
806 Capital Equipment
Quick Reference and Forms
900 Forms and Contracts for Services
901 Acronyms
902 Definitions
903 Contacts
904 Index
4
Introduction
Introduction
Cornell University’s Board of Trustees delegates significant procurement authority for the acquisition of goods
and services from external sources on the university’s behalf. Authority for the purchase of most goods and
services at the university is ultimately delegated to Procurement Services. University Policy 3.25,
Procurement of Goods and Services, provides overarching guidelines for procurement and directs readers to
this manual for specific details.
The processes and procedures documented in this Buying Manual have been developed to ensure
responsible stewardship of university funds and are based on sound business practices, best value,
accountability, and compliance with donor, sponsor and regulatory requirements.
Procurement Services is committed to providing a high level of service and to achieving best value for use of
university funds. We provide procurement tools and consult with end-users, units, accounting service
centers, and the shared services center to help them succeed. If Procurement Services is involved early
enough in a project, we can help you gain substantial savings.
Mission Statement
Cornell University's Procurement Services provides cost-effective procurement services to its customers by
listening to their needs and responding in a prompt, courteous, and professional manner.
Vision Statement
To create an environment that:
• Allows employees to provide excellent service
• Ensures that customers receive extraordinary value
• Utilizes best practices and acts as a role model for others
Contact Information
Procurement Services
377 Pine Tree Road
Ithaca, NY 14850
Main Telephone: (607) 255-3804
Fax: 607-255-9450
E-mail: procure.support@cornell.edu
Website: procurement.cornell.edu
Buying Manual Number: 100
Subject: General Information Issued: February 9, 2009
Title: Authorized Business Expense Revised: February 1, 2018
5
Section 100
Getting Started
There are three main categories of information in this Buying Manual:
• Topics of interest to all individuals initiating a transaction on behalf of the university
• Transactions that do not require a purchase order
• Transactions that require a purchase order
We recommend that everyone read the General Information section, which covers topics for every person at
Cornell who initiates transactions. Included in this section is the topic Requirements for Vendor Selection and
Order Creation, which outlines the requirements for placing orders through Cornell’s e-procurement tool (e.g.,
e-SHOP) and for utilizing preferred suppliers.
If you are initiating a purchase where authority for review and approval of that good or service has been
delegated to a specialized unit (for example, a real estate transaction) or for tangible goods that do not
require a purchase order or for travel, see Paying for Goods and Services that Do Not Requiring a Purchase
Order. This section includes information on non-purchase order payment methods that may be utilized (e.g.,
procurement card, direct payment by check or electronic equivalent method, and payment options for
business travel).
If you determine that a purchase order is necessary, refer to The Purchase Order Process, which describe the
types of purchase orders available, the requirements for bidding, and additional requirements that apply to
certain goods, services, and sources of funds. Please also note the section on Purchases with Special
Procedures, which include certain sensitive goods and services and orders that are funded by New York
State appropriated funds.
The section on Procurement Programs is also of interest to everyone because it explains the areas in which
Procurement Services has proactively developed progressive programs. These include commitments to
supplier diversity and programs that support the university’s goals in environmental sustainability.
Recommended Steps
• Please ensure that your intended purchase is an allowable business expense for which University
funds may be expended under University Policy 3.14, Business Expenses.
• Determine if the good or service that you want to purchase is covered by a preferred or contract
supplier agreement.
• If Procurement Services has negotiated an agreement with a supplier for the good or service
(commodity) that you are purchasing, then you should purchase that commodity from the preferred
supplier. Otherwise, you are encouraged to shop for best price and consider the discounts available
from contract suppliers. Please refer to the supplier utilization hierarchy in Section 102.
• Determine the appropriate procurement method. To assist you in making the determination, refer to
the Procurement Decision flowchart in Section 200.
o If the supplier is available in e-SHOP, then begin your requisition in e-SHOP as it simplifies
the data entry and ensures you receive Cornell’s discounted pricing.
o If the vendor is not available in e-SHOP, then you must determine whether the purchase is
eligible for payment via pcard or disbursement voucher (DV). Please reference prohibited
pcard transactions (Section 302) and direct payment via DV (Section 203).
o If not eligible for purchase via pcard or DV, then you must use a purchase order (PO).
If the good or service that you wish to purchase is not covered by a preferred or
contract supplier agreement, then utilize the Find a Supplier search feature in Spend
Viz to determine if an existing supplier provides the commodity.
If a supplier is not available in KFS, then you may request a new supplier.
6
• In situations where a preferred supplier agreement does not exist and the purchase amount exceeds
the formal bid limit of $25,000, a vendor is selected through competitive bidding, unless an
appropriate justification and an alternative method of selection are specifically authorized by a
Procurement Agent (refer to Section 400).
Authorized Business Expense
Prior to reviewing this manual, please ensure that your intended purchase is an allowable business expense
for which University funds may be expended. University Policy 3.14, Business Expenses, provides guidelines
for identifying expenses that may be charged to various University accounts and ensuring compliance with
federal, state, and local regulations while supporting the University’s missions of education, research and
public service. Prior to initiating a transaction, review University Policy 3.14.
If you have questions related to whether your intended purchase is allowable, contact your unit business
manager or the shared services center prior to initiating the purchase.
Buying Manual Number: 101
Subject: General Information Issued: February 9, 2009
Title: Legal and Ethical Conduct and Purchases for Employees Revised: November 12, 2018
7
Section 101
Legal and Ethical Conduct
Purpose:
It is the policy of Cornell to comply with all laws governing its operation and to conduct its affairs in
keeping with the highest moral, legal and ethical standards.
Compliance with the law (including anti-bribery and antitrust laws and other applicable regulatory law)
means not only following the law but so conducting Cornell business that Cornell will deserve and receive
recognition as a good and law-abiding citizen, alert to its responsibilities in all areas of good citizenship.
Even where the law does not apply, applicable standards of ethics and morality relate to our activities and
require the same diligence and attention to good conduct and citizenship.
Illegal and unethical practices include engaging in price fixing arrangements; bid rigging acts; agreements
with competitors to divide or allocate markets or customers; falsifying of accounting records; intentional
misrepresentations to the University’s auditors; bribery; illegal kickbacks; or illegal political contributions.
Conflict of Interest:
Loyalty and the practice of good business ethics are a part of the obligation of employees to their
employer. One aspect of this is the requirement that an employee refrain from engaging in personal
activities which injure or take advantage of the University. Employees are prohibited from using their
position at the university to realize a personal profit.
Per University Policy 4.14, “a conflict of interest may arise when an individual has the opportunity to
influence the university’s business, administrative, academic, or other decisions in ways that could lead to
personal gain or advantage of any kind.” Conflict of interest is most likely to occur when the Cornell
employee is employed for personal gain by another firm, directly or as a consultant; has a direct financial
interest in another firm; has an immediate family financial interest in another firm; or is a director or officer
of another firm.
For additional information please see University Policy 4.6, Standards of Ethical Conduct and University
Policy 4.14, Conflicts of Interest, which specifies the reporting requirements and responsibilities for
review.
All individuals initiating transactions on behalf of the university should report any conflict of interest in
accordance with policy and college or administrative unit requirements. Upon full reporting, the university
may approve a transaction or affiliation, provided that the conflict can be managed.
Gifts:
Mutual respect between supplier and buyer has always been and always will be an important factor in
business. It is to be encouraged between two parties where it can be of advantage to both. There is
nothing questionable or unethical in lunching with a supplier, either to give the salesperson a better
opportunity to present his or her case or to cultivate a business relationship, provided the employee
accepts such intentions as they would from any other person and keep themselves free from obligation.
Employees must not become obligated to any supplier and shall not participate in any transaction in
which they may personally benefit. No gifts, beyond those of an advertising nature and insignificant value,
generally distributed to all potential customers, may be accepted by any Cornell employee.
Gifts received, which are unacceptable according to this policy, shall be returned to the donors.
Entertainment:
Cornell employees shall not accept purely social entertainment offered or sponsored by suppliers.
Buying Manual Number: 101
Subject: General Information Issued: February 9, 2009
Title: Legal and Ethical Conduct and Purchases for Employees Revised: November 1, 2018
Section 101
8
Entertainment is not construed to mean an occasional business meal or a function where Cornell stands
to benefit from the supplier association.
Code of Ethics:
All individuals initiating transactions on behalf of the university have requirements relating to their
interaction with, and selection of, vendors. Employees must be careful not to become obligated to any
supplier and must not participate in any transaction in which they may personally benefit. See paragraph
above on gifts. Personal purchases that utilize the university’s discount or sales tax exemption are not
allowed. (Note: Some vendors offer discounts to Cornell employees for personal purchases. See Human
Resources Perks web page at https://www.hr.cornell.edu/benefits/perks.html for a complete list.) All
individuals initiating transactions on behalf of the university will review and comply with the “Legal and
Ethical Conduct” section of this Manual, and with the National Association of Educational Procurement
Code of Ethics which is in University Policy 3.25, Procurement of Goods and Services, Appendix E.
Purchases / Rebates / Free Merchandise:
If a vendor offers free merchandise or a rebate with purchase, that merchandise or rebate is the property
of Cornell University. Rebates will be returned to the account that was utilized to pay for the purchase.
Free merchandise will be turned over to the unit’s director/department head for appropriate distribution
(e.g., departmental use, drawing for all faculty/staff, charitable donation).
University Purchases for Employees
Agents in Procurement Services (Procurement) and other agents of the university are not permitted to
make personal purchases for employees. An enterprise has been established for the sole purpose of
acting as a distributor for the specified equipment or material for resale to individuals, e.g., Technology
Connection, a division of Cornell Business Services. In cases where agents in Procurement have
negotiated contracts with suppliers that include employee discounts for personal purchases, these
purchases are to be made by the individual employee with personal funds. For a complete listing of
discounts available to the community, please visit the HR Web site for Benefits / Perks.
Buying Manual Number: 102
Subject: General Information Issued: February 9, 2009
Title: Requirements for Vendor Selection and Order Creation Revised: February 1, 2018
9
Section 102
Requirements for Vendor Selection and Order Creation
Authority for the review and approval for most purchases at the university is the responsibility of
Procurement Services (Procurement). Exceptions are discussed later in this document.
One of the services that Procurement provides for the campus is the negotiation of supplier agreements –
both preferred and contract. University Policy 3.25, Procurement of Goods and Services, states “In many
cases, suppliers are preselected based on campus input, screened, and negotiations have already been
conducted, resulting in preferred supplier agreements. Where such agreements exist, units must procure
goods and services from these preferred suppliers regardless of dollar amount or procurement method.”
What does this policy mean for the units?
First, determine if the good or service that you want to purchase is covered by a preferred or contract
supplier agreement.
Second, refer to the supplier utilization hierarchy below to aid you in selecting a supplier.
• If Procurement has negotiated a preferred supplier agreement with a supplier for the commodity
(good or service) that you are purchasing, then you must purchase that commodity from the
preferred supplier.
• You are encouraged to review the discounted pricing available from contract suppliers but are not
required to use the contract supplier.
• For items that are not covered by preferred or contract supplier agreements and for purchases
below the $25,000 bid limit, you are encouraged to shop with local or diverse suppliers and to
review the suppliers in e-SHOP as part of your comparison shopping.
Definition
Unit Spending Goal
A supplier with whom Procurement Services has
negotiated and/or implemented a university-wide
agreement and that Procurement Services endorses
as the “best overall value” in providing products,
services, delivery, and customer service. These
suppliers have participated in a competitive bid and
negotiation process, were selected because they meet
criteria established by commodity teams comprising
campus users.
Where agreements with a specific supplier exist for a
good or service (commodity), units must procure those
goods and services from these preferred suppliers.
80%
A supplier who has participated in a competitive bid
process and agreed to Cornell’s terms and conditions.
We encourage you to use these contracts to take
advantage of price discounts.
A business located in Tompkins County or adjacent
counties.
20%
Any business concern that is at least 51 percent
owned by a woman, minority, veteran, or LGBTQ, who
are U.S. citizens and whose management and daily
business operations are controlled by one or more of
such individuals.
Third, determine the appropriate procurement method. If the supplier is available in e-SHOP, then begin
your requisition in e-SHOP as it simplifies the data entry and ensures you receive the discounted pricing.
Buying Manual Number: 102
Subject: General Information Issued: February 9, 2009
Title: Requirements for Vendor Selection and Order Creation Revised: February 1, 2018
Section 102
10
If the vendor is not available in e-SHOP, then you must determine whether the purchase is eligible for
payment via pcard or disbursement voucher (DV). If not eligible for purchase via pcard or DV, then you
must use a purchase order (PO). To assist you in making the determination, refer to the Procurement
Decision flowchart in Section 200. Please reference prohibited pcard transactions (Section 302) and
direct payment via DV (Section 203).
In situations where a preferred supplier agreement does not exist and the purchase amount exceeds the
formal bid limit of $25,000, a vendor is selected through competitive bidding, unless an appropriate
justification and an alternative method of selection are specifically authorized by a Procurement Agent
(refer to Section 400).
Relationships with Vendors
The highest standards of business ethics and conduct should be applied by all Cornell employees
to relations with suppliers. When making decisions affecting suppliers, employees shall not obligate either
themselves or the university to a supplier. In conducting business with suppliers, employees are also
expected to act fairly and objectively and in the best interests of the university. Fairness to suppliers is
promoted by the following means:
• By giving all salespersons a fair, prompt and courteous hearing on any subject that is justified by
the nature of their products or services.
• By keeping competition open and fair.
• By discouraging revisions of bids after submission and insisting on receiving the best price initially
and holding the bidder to it.
• By keeping buying specifications fair and clear and not including impractical or unnecessary
specifications.
• By showing consideration for the suppliers’ difficulties and cooperating with them to the fullest
extent possible.
• By not soliciting quotes from potential supplier unless we are willing to use that supplier should
the offer be acceptable in quality, price, delivery terms and service. Qualifications of a supplier
will be determined before a quotation.
• By not bargaining with suppliers. Ensure that each bidder’s quoted price is compared with other
bids submitted under the same conditions.
• By keeping prices confidential and not divulging those prices to competitors.
In cases when the appropriate Procurement Agent is not already providing the communication interface
with suppliers, employees should consult with Procurement if questions arise relative to these guidelines.
Buying Manual Number: 200
Subject: Paying for Goods and Services that Do Not Require a PO Issued: February 9, 2009
Title: Introduction to Non-PO Payment Methods Revised: May 10, 2016
11
Section 200
Paying for Goods and Services that Do Not Require a Purchase Order
Introduction to Non-PO Payment Methods
The University has authorized specific procurement applications or tools that do not require a purchase
order, these include Shared Services Center (SSC) procurement card (pcard), regular pcard,
disbursement voucher, and department charge (see sections 202 and 203).
A purchase order is not required when:
• Payment is allowed on a pcard (see section 302)
• Payment is allowed on a Disbursement Voucher (see section 203)
• Procurement Services (Procurement) has delegated the authority for review to a specific unit; for
example, the acquisition of library books has been delegated to the University Libraries. In these
instances, Procurement has a Memorandum of Understanding in place with these units. See
Appendix B of University Policy 3.25, Procurement of Goods and Services, for a complete list of
those units with delegated authority for specific goods or services.
• A unit offers a “department charge” for internal sales, whereby the selling unit processes an
electronic journal voucher.
• The Board of Trustees has delegated the authority for review and approval of specialized
transactions to another central unit. That unit will determine the most appropriate method of
procurement. See Section 201 of this manual for details on these specialized transactions.
• Personal payment by an employee, with request for reimbursement, is made for travel expenses
or hosted business meals.
NOTE: There is a flowchart available to assist you in determining which payment method to utilize, see
next page.
Buying Manual Number: 200
Subject: Paying for Goods and Services that Do Not Require a PO Issued: February 9, 2009
Title: Introduction to Non-PO Payment Methods Revised: May 10, 2016
Section 200
12
YES
YES
Prior to reviewing this flowchart, you must:
1. Consult University Policy 3.14, Business Expenses to ensure that your intended purchase is Cornell allowable
2. If you are paying with sponsored funds, ensure that your intended purchase is allowed by the sponsor.
Is your purchase a specialized
service, as listed in Buying
Manual Section 201?
YES
Is your payment eligible for
processing via DV as
described in
Buying Manual
Section 203?
NO
Are you paying for business
travel?
YES
YES
Is your good or service
available through e-SHOP?
Is your purchase a service
(not covered by one of the
questions above)?
YES
Is your purchase eligible for
payment by pcard? See
Section 302 for a list of
transactions prohibited on
pcard.
PROCUREMENT DECISION FLOWCHART
Your intended purchase
requires a purchase order. See
Section 400, The Purchase
Order Process and consult
your service center.
NO
NO
NO
NO
NO
See Section 201, which will direct you
to a specific office within the
University.
After reviewing Section 203 for any
additional instructions, process your
payment through KFS via DV.
See Section 204 and refer to
University Policy 3.2, Travel
Expenses.
Purchase through e-SHOP. See
Section 403 for more information
on e-SHOP.
Pay with procurement card. For
purchases above your transaction
limit, contact your service center.
See Section 700, Paying for
Services for further instructions.
Buying Manual Number: 201
Subject: Paying for Goods and Services that Do Not Require a PO Issued: February 9, 2009
Title: Eligible for Direct Payment with Approval of Authorized Unit Revised: May 27, 2022
13
Section 201
Eligible for Direct Payment with Approval of Authorized Unit
The review and approval of certain Specialized Services has been delegated by the Board of Trustees to
specific units at the university, based on that unit’s specialized knowledge of the service. These
payments may be made directly by disbursement voucher (i.e., check, ACH, or wire transfer); however,
approval from the unit with delegated authority must accompany any request for payment. Payments can
be made at dollar levels greater than the formal bid limit of $25,000. See University Policy 4.2,
Transaction Authority and Payment Approval, for information on the necessary approvals based on dollar
levels.
Caution: The procurement of these specialized services may require a contract. Whether the services
shall require a purchase order and/or a unique contract is at the discretion of the unit listed in
parentheses. For additional information on contracts, see the
Paying for Services, section 700 of this
manual.
• Architectural & Engineering Services (requires approval of Contracts and Capital Projects)
• Audit related services (requires approval of the University Audit Office)
• Benefits & Employment services (requires approval of the Division of Human Resources)
• Construction Contracts (requires the approval of Contracts and Capital Projects)
• Energy and energy related financial instruments (requires approval of Utilities and Energy
Management)
• Insurance (requires the approval of Risk Management & Insurance)
• Investments (requires the approval of the University Investments Office)
• Legal services (requires the approval of the Office of the University Counsel)
• Real estate (requires approval of the Real Estate Department)
• Sponsored Programs – Subcontracts (requires the approval of the Office of Sponsored
Programs)
• Treasury services/Debt/Banking (requires the approval of the Office of the Treasurer)
Note: For information on requesting your payment by check, or equivalent electronic method, see
“Disbursement Voucher” at the end of section 203 of this manual.
Buying Manual Number: 202
Subject: Paying for Goods and Services that Do Not Require a PO Issued: February 9, 2009
Title: Procurement Card Revised: March 1, 2012
14
Section 202
Procurement Card
A procurement card (also known as a pcard) is a credit card issued by a financial institution to an
organization to make business-related purchases from vendors. The card is issued in an employee’s
name and may be used for certain low-dollar, business-related purchases, when the item is not available
through e-SHOP. There are per transaction and monthly dollar limits on the cards, as well as certain
goods and services that are prohibited from payment by pcard. Since the pcard is a university liability,
the bill is paid centrally by Cornell for all balances; no purchase order or reimbursement process is
necessary.
In general, to be eligible for payment by pcard, a purchase must:
• Be an allowable business expense, based on University Policy 3.14, Business Expenses
• Be within the cardholder’s per-transaction and monthly limit
• NOT appear on the list of Prohibited Transactions (see section 302)
Procurement card holders should consult the Procurement Card section of this manual to review their
responsibilities and the specific goods and services that are prohibited from payment by pcard. In the
event that your intended purchase exceeds your per transaction limit, or you do not hold a procurement
card, consult the Shared Services Center.
Note: The terms and conditions associated with a purchase order provide certain legal protection to
the university and therefore, there may be instances where the unit or service center chooses to request
a purchase order rather than utilizing a procurement card.
Buying Manual Number: 203
Subject: Paying for Goods and Services that Do Not Require a PO Issued: February 9, 2009
Title: Payment by Disbursement Voucher Revised: July 25, 2024
15
Section 203
Payment by Disbursement Voucher
Eligible for Direct Payment via Disbursement Voucher
Procurement Services (Procurement) has exempted the payment types described in this section from the
issuance of a purchase order. No contract is necessary unless specifically stated. Since these payment
types are generally not available through e-SHOP and procurement card is often not an option, payment
by check or equivalent electronic method may be requested via the Disbursement Voucher. A service
center may request these payments (via DV) at dollar levels greater than the formal bid limit of
$25,000. See University Policy 4.2, Transaction Authority and Payment Approval, for information on the
necessary approvals based on dollar level.
Note: For information on requesting your payment by check, or equivalent electronic method, see
Disbursement Voucher (DV) at the end of this section.
Note: Requests to Donate a Payment. When an individual does something (e.g., provides services,
speaks, applies or competes for a prize/award) with the knowledge of or expectation of receiving payment
directly in exchange for their actions, the payment must be issued to the individual and may not be
donated to another entity on their behalf.
CAUTION: Before paying a foreign visitor, review the Payments Allowed by Visa Type matrix
on the Tax Office website to ensure that immigration law does not restrict the type of payment. If
the payment is allowed, see the Forms Required for Payments for further instructions.
• Advertisement – a paid announcement in newspapers or magazines, on radio or television, etc.; a
public notice. Generally paid by procurement card when amount is under the formal bid limit; when
pcard is not an option, the DV may be used to generate this payment. See University Policy 4.10, Use
of Cornell’s Name, Logos, Trademarks, and Insignias for definitive guidelines for advertising campus
services in all forms of public-facing print, digital and physical media. Permission to advertise in local
outside media, whose audience is not exclusively on campus, must come from the Division of
University Relations (lice[email protected]). Formal paid advertising is permitted for events of an
athletic or cultural nature that have a primary appeal to the university community and secondary
appeal to the general community, e.g., musical presentations, concerts, athletic events, exhibitions,
films, lectures, etc.
• Ambulance services - generally paid by procurement card when amount is under the formal bid
limit; when pcard is not an option, the DV may be used to generate this payment.
• Athletic event official – requesting the payment for the official via the DV is acceptable even if the
athletic event official is an employee. The Service Provider Evaluation is not necessary as an athletic
event official is always an independent contractor.
• Award - something that is bestowed generally for excellence, whether or not based on an open
competition. Payments to employees must be processed through Payroll. See Payment to Students
below.
• Donations – any voluntary contribution of cash or property to any organization outside of the
university, regardless of the sources of funds. All donations with a value more than $500 or less than
$2500 must be approved by The Office of University Relations and the approval must be attached to
Buying Manual Number: 203
Subject: Paying for Goods and Services that Do Not Require a PO Issued: February 9, 2009
Title: Payment by Disbursement Voucher Revised: July 25, 2024
Section 203
16
the DV. Donation requests of $2,500 or more should be submitted to University Relations Senior
Director of Budget, Administration, and University Licensing (Kyle Kubick, kak243) for approval by the
Vice President for University Relations (Joel Malina, jmm746).
Payment is allowed on an SSC procurement card when the donation amount is under $10,000 with
appropriate approvals. Use object code 6390 for contributions from Cornell to an outside entity. Use
object code 6420 for payments in lieu of flowers.
Please note that sponsorships, advertising, or other engagements with reciprocal value are not
considered “donations” and are not subject to prior approval, even if using Object Code 6390
Donation from Cornell. For example, a department sponsorship of a conference with or without
recognition of such sponsorship is not considered a donation that requires approval from University
Relations.
• Dues for Memberships and Professional Organizations - generally paid by procurement card
when amount is under the formal bid limit; when pcard is not an option, the DV may be used to
generate this payment.
• Entertainment Events held at major, public places such as Bailey Hall or Statler Auditorium –
consult the Office of University Counsel regarding a contract and attach that contract to your DV. It is
also recommended that you include the engagement letter and major concert addendum. The Service
Provider Evaluation described in Section 700 is not needed.
• Film rental - generally paid by procurement card when amount is under the formal bid limit; when
pcard is not an option, the DV may be used to generate this payment.
• Food for Resale – food that is acquired for purposes of resale on campus, by units that do not have
a Spend Delegation agreement with Procurement, e.g., Temple of Zeus, The Green Dragon, may be
paid via DV.
• Freight Bills - generally paid by procurement card when amount is under the formal bid limit; when
pcard is not an option, the DV may be used to generate this payment. Payment must be made within
fifteen (15) days per Federal Interstate Commerce Commission/Department of Transportation
regulations.
• Gift – something given as a present.
Caution: See University Policy 3.14, Business Expenses, for
additional information, particularly related to expenses that benefit faculty, staff or students. Cash gifts
to employees or student employees should be processed through University Payroll. The IRS
classifies almost all “gifts” to employees as taxable wages. Review Cash Awards, Gift Cards and
Certificates on the University Tax Office website and contact tax@cornell.edu with questions. For the
purchase of gift cards, contact your service center.
• Guest Lecturer - an individual who is providing minimal supplementation to the primary instructor in
an academic class, regardless of whether the course awards academic credit or not. The Guest
Lecturer agrees to a fee in exchange for giving a lecture or participating in an academic
class. Examples include presenters at lecture series, participant on thesis review panel, and guest
lecturers giving one lecture in a semester long course, in classes or other training events.
Buying Manual Number: 203
Subject: Paying for Goods and Services that Do Not Require a PO Issued: February 9, 2009
Title: Payment by Disbursement Voucher Revised: July 25, 2024
Section 203
17
When evaluating whether a payment qualifies as a guest lecturer fee, the following questions can be
used as guidelines. If you have answered "yes" to any of the below questions, the payment does not
qualify as a guest lecturer fee.
1. Is the payment recipient a business, corporation, or partnership? If yes, use the service
provider contract and issue a purchase order.
2. Is the recipient a current employee or has the recipient been an employee at any time in the
same calendar year? If yes, payment must be processed through Payroll. See the Payments
to Employees section below for the exception for those with unpaid appointments.
3. Is the recipient an adjunct instructor or providing significant instruction for a class, workshop,
or studio? If yes, the guest speaker is considered an employee and must be paid through
Payroll.
4. Are the recipient’s engagements recurring? If yes, the individual may be considered an
employee or service provider. To determine classification, reference the Contracts for
Services guidelines in Section 700 for service providers performing services within the U.S.
and internationally.
5. Is the recipient a H-1B, TN, and O-1 visa holder not sponsored by Cornell University? If yes,
U.S. Citizenship and Immigration Services (USCIS) regulations are restrictive and payment,
of any kind, IS NOT allowed.
If the payment qualifies as a guest lecturer fee, the guest lecturer must present an invoice;
compensation may be paid via DV, using DV payment reason code E-Compensation for
Services. When a request is made to reimburse the lecturer’s travel, that reimbursement will be
processed on a separate DV, using DV payment reason code N-Travel Payment for a Non-employee
or direct travel payment may be issued on a university T&M card.
• Payments may not be donated or issued to third parties.
• Guest lecturer fees paid to employees, or individuals who have been an employee at any
time in the same calendar year, must be processed through Payroll.
• If the payment is issued to a foreign national who is currently a J-1 teacher/researcher/short
term scholar visa holder not sponsored by Cornell University, the recipient MUST PROVIDE
a statement from the sponsoring institution granting permission to receive the service
payment to ensure compliance with U.S. State Department regulations.
Caution: The term “guest lecturer” does not include adjunct instructors or individuals providing
significant or continuous instruction for a class or workshop; these individuals are considered
employees and must be paid through Payroll.
• Guest Speaker – an individual presenting at a meeting, graduation ceremony, conference, forum,
speaker series, symposium, non-credit summer mini-course, or public presentation that is not part of
an academic course or class. The Guest Speaker agrees to speak at the event in exchange for a
prescribed or negotiated fee.
When evaluating whether a payment qualifies as a guest speaker fee, the following questions can be
used as guidelines. If you have answered "yes" to any of the below questions, the payment does not
qualify as a guest speaker fee.
1. Is the recipient a current employee or has the recipient been an employee at any time in the
same calendar year? If yes, payment must be processed through Payroll. See the Payments
to Employees section below for the exception for those with unpaid appointments.
2. Is the recipient an adjunct instructor or providing significant instruction for a class, workshop,
or studio? If yes, the guest speaker is considered an employee and must be paid through
Payroll.
3. Are the recipient’s speaking engagements recurring? If yes, issue a purchase order.
Buying Manual Number: 203
Subject: Paying for Goods and Services that Do Not Require a PO Issued: February 9, 2009
Title: Payment by Disbursement Voucher Revised: July 25, 2024
Section 203
18
4. Is the recipient hosting a virtual or in-person workshop? If yes, issue a purchase order.
5. Is the recipient a H-1B, TN, and O-1 visa holder not sponsored by Cornell University? If yes,
U.S. Citizenship and Immigration Services (USCIS) regulations are restrictive and payment,
of any kind, IS NOT allowed.
The guest speaker must present an invoice; compensation may be paid via DV, using payment
reason code E-Compensation for Services. When a request is made to reimburse the speaker’s
travel, that reimbursement will be processed on a separate DV, using payment reason code N-Travel
Payment for a Non-employee or direct travel payment may be issued on a university T&M card.
• If there is a written agreement that specifies the payee, the payment must be issued to that
named payee.
o If the services have not yet been performed and the speaker requests the payment
be made to an agent, the agreement must be modified to reflect the appropriate
named payee.
o If the guest speaker presents a contract, it should be reviewed by the unit and signed
by the unit’s Dean or Vice President. Concerns about contract terms should be
reviewed by the Office of General Counsel.
• If there is no written agreement, payment must be issued to the named payee (individual or
agent) on the invoice.
• If the guest speaker is an employee or has been an employee at any time in the same
calendar year, contact the Tax Office (tax@cornell.edu) for further guidance on how the
payment should be processed.
• If the payment is issued to a foreign national who is currently a J-1 teacher/researcher/short
term scholar visa holder not sponsored by Cornell University, the recipient MUST PROVIDE
a statement from the sponsoring institution granting permission to receive the service
payment to ensure compliance with U.S. State Department regulations.
• Honoraria – one-time payment(s) made in appreciation, primarily intended to confer distinction or to
symbolize respect, which is not required by agreement and not a fee charged by the recipient. If the
fee is prescribed by the individual or if it is negotiated, an honorarium situation does not exist, rather a
contract for services exists. Further, it is not appropriate to pay honoraria to individuals who make
significant instructional contributions to a course, or to pay honoraria over several months, such as to
visiting scholars. Honorarium payments are generally not allowable charges to federal funds unless a
contract or grant specifically authorizes such payments. Examples include a special service or
distinguished achievement for which propriety precludes setting a fixed price, such as a special
lecture, participation in a workshop or panel discussion, or similar activities.
When evaluating whether a payment is an honorarium, the following questions can be used as
guidelines. If you have answered "yes" to any of the below questions, the payment does not qualify
as an honorarium.
1. Is the payment recipient a business, corporation, or partnership?
2. Was the payment amount negotiated between the University and the recipient?
3. Is there a contractual agreement?
4. Are the recipient’s services recurring?
5. Is the recipient an employee or student employee? See the Payments to Employees
section below for the exception for those with unpaid appointments.
6. Did the recipient set the price or fee?
7. Is the recipient a H-1B, TN, and O-1 visa holder not sponsored by Cornell University? If
yes, U.S. Citizenship and Immigration Services (USCIS) regulations are restrictive and
payment, of any kind, IS NOT allowed.
Buying Manual Number: 203
Subject: Paying for Goods and Services that Do Not Require a PO Issued: February 9, 2009
Title: Payment by Disbursement Voucher Revised: July 25, 2024
Section 203
19
Use DV payment reason code O-Honoraria. The honoraria must be charged to a Federal Unallowable
object code. Honoraria payments to employees must be processed through Payroll. Payments may
not be issued to third parties (e.g., agents, charities, etc.).
• If the payment is issued to a foreign national who is currently in the U.S., the recipient must
complete the Honoraria Attestation to ensure compliance with IRS rules.
• If the payment is issued to a foreign national who is currently a J-1 teacher/researcher/short term
scholar visa holder not sponsored by Cornell University, the recipient MUST PROVIDE a
statement from the sponsoring institution granting permission to receive the service payment to
ensure compliance with U.S. State Department regulations.
If the unit has agreed to pay for the travel of an individual receiving an honoraria, the travel may be
paid directly (contact the Shared Services Center) or may be processed as a reimbursement using
DV payment reason code N-Travel Payment for a Non-employee.
• Human Participant Fees (i.e., fees for research subjects, survey participants) - payment to a
participant in a study conducted by a Cornell faculty, staff or student (not considered a payment for
services). These payments may be made to employees via DV; payment through Payroll system is
not required. Additionally, payments may be made with cash (see Policy 3.21, Advances for
information on the use of a cash advance) or gift certificates/cards (see the University Tax Office
guidelines and consult your service center for appropriate payment options). See the Office of
Research Integrity and Assurance website at www.irb.cornell.edu/ for further details on conducting
research involving human participants.
• Incentive or recognition payments to board or committee members – These payments are a
monetary reward given to encourage or motivate participation, are not employment related. If the
recipient does not have a contract for services with Cornell, has not requested or negotiated a
payment, and is not on Cornell’s payroll, a DV may be utilized for this payment.
• Language Translation and Interpretation (including sign language) - Requesting the payment via
DV is acceptable even if the service provider is an employee. A DV may be utilized for a single
engagement of a U.S. service provider when the service is performed within the United States.
Please note that translation with transcription services requires a purchase order and an IT
Professional Services agreement.
Caution: For information on utilizing foreign service providers and/or services being performed
outside of the United States, see Section 700 Paying for Services – Getting Started.
• Liquor for Resale – alcohol that is acquired for purposes of resale on campus may be paid via DV as
New York State law requires that the payment be made within 10 days of the sale.
• Magazines and Books - generally paid by procurement card when amount is under the formal bid
limit; when pcard or e-SHOP is not options, DV may be used to generate this payment.
• Magazines and Periodical Subscriptions - generally paid by procurement card when amount is
under the formal bid limit; when pcard is not an option, DV may be used to generate this payment.
Software and database subscriptions require a purchase order and may require a CIT statement of
need.
Buying Manual Number: 203
Subject: Paying for Goods and Services that Do Not Require a PO Issued: February 9, 2009
Title: Payment by Disbursement Voucher Revised: July 25, 2024
Section 203
20
• Postage and Express mail - generally paid by procurement card when amount is under the formal bid
limit; when pcard is not an option, DV may be used to generate this payment.
• Petty Cash Replenishment – Submission of receipts to replenish the minimal amount of cash kept on
hand by a unit to pay for small expenditure items ($25 and under) where use of a pcard is impractical.
See University Policy 3.21, Advances, for further details.
• Permit/License – Building projects often require permission from the city of Ithaca (e.g., fences,
retaining walls, site work, tent permit, sign application, etc.) Additionally, permits/licenses may be
required when goods are being sold at an event and for special events (e.g., noise, assembly or
parade, street closures, use of city property, alcohol, vending). This does not apply to licensing
agreements or contracts, e.g., software licensing agreements, which require a purchase order.
• Postage meter rental – generally paid by procurement card when amount is under the formal bid
limit; when pcard is not an option, DV may be used to generate this payment.
• Post-Doctoral Fellowship - payments made to a Post Doc fellow, generally supported by NRSA or
similar training grants.
Caution: Most payments to post-docs are classified as wages and will be paid through payroll. The
unit cannot elect to make a payment to a post doc in this manner; the sponsor or external party
supporting the post doc determines the treatment of the payment.
Note: For clarification purposes, please note the following methods of payment:
- Post Docs (other than those supported by training grants or external fellowships, as described above): Pay
through payroll using the title “Post Doc Associate”
- Graduate stipends for assistantships or payments for other services: Pay through payroll
- Graduate scholarship/fellowship (where no services required): Process as financial aid through PeopleSoft
Financial Aid application
- Graduate students, other payments: Process as financial aid through PeopleSoft Financial Aid application
- Undergraduate students: Process as financial aid through PeopleSoft Financial Aid application
- Payments to post docs, graduate and undergraduate students not described above: Contact
tax@cornell.edu for instructions.
• Prize - something that is awarded in a contest or won by chance.
• Public Utilities – (e.g., NYSEG)
Note: Internet services are not considered a public utility and are
not eligible for DV payment.
• Publication Fees - a payment issued for the right to publish or reprint printed material may be paid
by procurement card when amount is under the formal bid limit. When pcard is not an option, DV
may be used to generate this payment.
Please note that publication services that may include editing, formatting, and preparing the
material for dissemination and printing services that include copying of the material are processed
on a purchase order.
• Refunds - Return of monies previously paid to Cornell (i.e., overpayment of a parking ticket,
conference cancellation)
Buying Manual Number: 203
Subject: Paying for Goods and Services that Do Not Require a PO Issued: February 9, 2009
Title: Payment by Disbursement Voucher Revised: July 25, 2024
Section 203
21
• Reimbursement – Returning the cost of a business expense that was incurred personally Note:
The reimbursement method is to be utilized for travel and business meals, and not the procurement
of goods and services. Incidental goods purchased during travel may be reimbursed along with the
traveler’s normal transportation, lodging, and meals in accordance with University Policy 3.2, Travel
Expenses.
• Restaurants – direct payment for business meals, not catered or hosted events. Generally paid by
procurement card or the Travel and Meal Card when amount is under the formal bid limit; when pcard
or T&M card is not an option, DV may be used to generate this payment.
Caution: When a meal is being provided for a group in a restaurant or other facility where the
establishment is reserved only for Cornell and its guests, and not open to the general public, the
event will require the issuance of a purchase order.
• Royalties, Permission Fees, Commissions - Fees paid for use of a right (e.g., publish or reprint a
photo or an article, use a play script or musical for a stage performance, use of a musical
composition). Requesting the payment via DV is acceptable even if the payee is an employee. The
Service Provider Evaluation described in Section 700 is not needed. The unit requesting this type of
payment should have a written agreement with the payee. Attach the agreement to the DV.
Caution: Paying a service provider to create a work of art (e.g., take a photo, write a play, compose
music) is compensation for services and requires a purchase order and contract. For individuals
performing a play or piece of music, see Performers without Equipment above.
• Seminar and Convention Registration fee - generally paid by procurement card when amount is
under the formal bid limit; when pcard is not an option, DV may be used to generate this payment.
• Taxes
• Temporary employment agencies
Caution: For information on utilizing foreign service providers and/or services being performed outside
of the United States, see Section 700 Paying for Services – Getting Started.
When a unit agrees to reimburse the travel expenses of an individual who is also receiving another
payment type listed above, two separate payments will be made. The payment type listed above (e.g.,
guest lecture fee, honoraria) is recorded on the DV as a “Direct Payment”, while the travel expense
portion is processed as “Reimbursement for Expenses.”
Direct any questions on tax and withholding to the Tax Manager in the University Controller’s Office at
tax@cornell.edu.
Buying Manual Number: 203
Subject: Paying for Goods and Services that Do Not Require a PO Issued: February 9, 2009
Title: Payment by Disbursement Voucher Revised: July 25, 2024
Section 203
22
Payment by Disbursement Voucher
Disbursement Voucher: Direct Payment by Check or Other Equivalent Electronic
Methods
For those goods and services eligible for direct payment, the payment will be requested using the KFS
Disbursement Voucher. Please refer to the Financial Transaction SOP: Financial Processing,
Disbursement Vouchers.
Requesting a New Vendor
If the vendor that you are paying is not already in the system, see Section 205 Vendor Setup.
Payments to Employees
An individual who is currently an employee, or who has been an employee in the current calendar year,
will be paid for services through Payroll unless:
• The description of the payment type above specifically notes that requesting the payment via DV
is acceptable even when the service provider is an employee; or
• The employee operates a business under a federal employer identification number and the work
performed differs from the employee’s Cornell-related job responsibilities; or
• The employee has an appointed unpaid position in Workday.
Direct questions to the Tax Manager in the University Controller’s Office at [email protected]
Payments to Cornell Students
Prizes and Awards
Students who are receiving taxable prizes or awards should be set up as DV vendors. PaymentWorks
should be used to register students for taxable payments. For surprise awards, please send the
PaymentWorks registration email after the award has been presented.
Payments for Services
• All payments to Cornell students for services rendered in the U.S., must be processed
through payroll as temporary or casual employee payments. This applies to both students
currently on payroll and students not currently on payroll.
• If the Cornell student has a business under their social security number, then the payment
for service must be processed through payroll as temporary or casual employee payments.
• In those limited instances when a Cornell student has an incorporated business (legal entity)
with a federal employer identification number, then follow the standard paying for services
process and issue a contract and purchase order to the business. Follow the paying for services
process defined in Buying Manual section 700 (see
also https://www.finance.cornell.edu/procurement/tools-forms/forms/contracts).
o Only three service contracts used for one-time engagements – Language Translation and
Interpretation (including sign language), Performer without equipment, and Writer, Editor,
Indexer – are eligible for disbursement voucher payment. All other contracts and
agreements require the issuance of a purchase order, including the Services Provider
contract used for workshops.
Buying Manual Number: 203
Subject: Paying for Goods and Services that Do Not Require a PO Issued: February 9, 2009
Title: Payment by Disbursement Voucher Revised: July 25, 2024
Section 203
23
o Additionally, when engaging a service provider for recurring or multiple engagements,
use the appropriate consulting agreement (i.e., Independent Consultant, Professional
Services, or IT Professional Services) and issue a purchase order.
o U.S. service providers will receive the tax reporting document 1099. Foreign national
service providers will receive the tax reporting document 1042-S.
• For all payments made to Cornell students performing services outside the U.S., contact your
iCertis contract administrator.
• Payments for services by External Organizations are not eligible for PaymentWorks
vendor registration tool, discounted pricing (e-SHOP), or use of Cornell contracts
(purchase order, service provider contracts, or consulting agreements).
Reminder: All payments for services that are made to non-U.S. individuals or entities require a
purchase order and should specify in the purchase order line-item description whether the
services were physically performed within or without of the U.S.
Buying Manual Number: 204
Subject: Paying for Goods and Services that Do Not Require a PO Issued: February 9, 2009
Title: Payment Options for Business Travel Revised: February 15, 2023
24
Section 204
Payment Options for Business Travel
All Cornell business travelers are required to comply with university policies, including but not limited to
University Policy 3.2, Travel Expenses and University Policy 3.14, Business Expenses. Travelers should
familiarize themselves with these policies before planning and commencing travel for the university.
Cornell employees whose job requires them to travel may be eligible for a Travel and Meal card. This is a
corporate liability credit card with no annual fee. For more information on the benefits of the travel and
meal card and the application process, please review Section 350, Travel and Meal Cards Introduction
and Section 351, Travel and Meal Cards Responsibilities.
Employees who travel on university business may be eligible to obtain a university cash advance. See
University Policy 3.21, Advances, for further details.
Reimbursement
Cornell business travelers generally pay their travel expenses using their travel and meal (T&M) card or
personal funds. Charges to the T&M card are automatically uploaded to Concur. Travelers will complete
a Concur expense report within 30 business days of return from travel. Personal payment followed by
reimbursement is not the appropriate payment method of procurement of goods and services.
Payment Options for Business Travel
To streamline the payment of business travel expenses and reduce the instances where an advance is
required, the University will pay directly for certain travel expenses. See below for a summary of payment
options for travel-related expenses.
• Airfare – Use your T&M card or contact the Shared Services Center (SSC). Groups of three or more
employees and visitors/guests have additional payment options; contact the SSC to discuss. See the
Travel Portal at travel.cornell.edu for links to authorized travel agencies and further details about
making reservations.
• Bus, campus to campus - Transportation between Ithaca and the New York City campus (Weill Cornell
Medical College) can be reserved and directly billed to a university account through the Transportation
and Mail Services website at www.c2cbus.com/.
• Bus, chartered – A purchase order is required. Buses chartered for groups require proof of insurance
and a contract and must not be paid for by an individual traveler; contact the SSC. Charter buses and
limousines for 9 or more passengers are not eligible for procurement card or travel and meal card use.
• Bus/Amtrak, individual – Use your T&M card; direct billing is not available for individual employee
travelers for bus or Amtrak transportation. For groups of three or more or for visitors/guests of the
university, contact the SSC.
• Conference registration fees – Use a procurement card or a T&M card for these fees.
• Hotel Room Block – a set of hotel rooms that has been set aside for a group or event at an agreed
upon nightly rate and usually with a minimum usage requirement. A deposit is typically required in
advance to hold the room block and may be paid on a travel and meal card.
Caution: Invoices that include meeting rooms or other spaces for events, and/or catering require a
contract and are NOT allowed to be paid via DV. See section 700, Paying for Services.
Buying Manual Number: 204
Subject: Paying for Goods and Services that Do Not Require a PO Issued: February 9, 2009
Title: Payment Options for Business Travel Revised: February 15, 2023
Section 204
25
• Limousine/Car service - A car service, for less than 9 total passengers, is eligible for T&M card
payment.
• Lodging – Direct billing for lodging is available for a limited number of hotels, primarily in Ithaca and
New York City. See the Travel Portal at travel.cornell.edu for the most up-to-date listing of hotels. For
groups of three or more or for visitors/guests of the university, contact the SSC to discuss.
• Rental Cars – Use your T&M card. No method of direct billing is available for rental cars.
Buying Manual Number: 205
Subject: Paying for Goods and Services that Do Not Require a PO Issued: July 8, 2010
Title: Vendor Setup Revised: July 1, 2019
26
Section 205
Vendor Setup Procedures for Service Center Staff
Before registering a new vendor, you will have:
• Determined the appropriate payment method using the Flowchart in section 200
• Determined that a preferred or contract supplier is not available for the good or service
• Confirmed that the requested supplier is not in Cornell’s electronic marketplace, e-SHOP
• Determined that an existing supplier is not available by using Find a Supplier in Spend Viz. Use
the key word search or commodity code search to identify registered suppliers who have
provided the commodity. You may refine your search to identify preferred/contract, e-SHOP,
diverse, or New York State certified MWBE suppliers.
Step 1. Conduct vendor search to determine if the “new” vendor is already
registered with Cornell
1. KFS Vendor Search – To make a disbursement voucher payment (such as, refund, reimbursement,
petty cash, or direct payment) or to request a purchase order to a company or an individual, please
search the Kuali Financial System (KFS) vendor database before requesting that a new vendor be
setup.
2. Vendor Inquiry – Available in Spend Viz on the web for anyone with a Cornell NetID. Similar to the
KFS Vendor Search, this tool allows you to search by name or partial name.
If a supplier is not available in KFS, then you may request a new supplier. Please be sure to provide as
much information as possible about the supplier (e.g., vendor name, complete address, telephone, fax,
and e-mail address) on the KFS Requisition (REQS) or I Want Doc (IWNT).
KFS Search Tips:
• Use the asterisk wildcard (*) before and after the keyword.
• Enter less information in the search field, then add additional information to refine your search
results.
o For example, if you are looking for The Cornell Store, begin by searching for *Cornell*. You
will see nearly 200 search results using this keyword search, so you may refine your search by
entering *Cornell Store* in the vendor name search field.
Buying Manual Number: 205
Subject: Paying for Goods and Services that Do Not Require a PO Issued: July 8, 2010
Title: Vendor Setup Revised: July 1, 2019
Section 205
27
• Begin search for an individual by using the last name only, e.g. *smith*.
• Narrow the results for an individual, by adding a first name, e.g. *smith, john*.
Step 2. Determine KFS vendor type
The KFS vendor type is determined by the type of payment(s) being made to the vendor. Please refer to
the chart below:
KFS Vendor
Type Code
KFS Vendor Type
Description
Use this vendor type for:
DV
Disbursement Voucher
Taxable, reportable payments, or those
payments covered by delegated spend as
prescribed in sections
201 & 203 of the
Buying Manual. Approval from the unit with
delegated authority must accompany any
request for payment per section 201.
RV
Refund & Reimbursements
Only
Refunds and out-of-pocket reimbursements;
do not use this vendor type if you anticipate
making a future DV payment, e.g., an
honorarium or speaker fee
RF
Petty Cash Custodian
Those staff members who are responsible for
handling petty cash drawers
SP
Special Payments
authorized by Tax Manager
The University Tax Office has designated this
vendor type for the following entities only:
federal, state, local, or foreign governments;
vendors with “Tax Collector” in their name; K-
12 public schools; and foreign embassies
PO
Purchase Order
The purchase of all goods and services
except those contained in sections 201 & 203
of the Buying Manual
If you need to change a vendor’s type, e.g., from DV to PO, please enter the vendor name and number in
the requisition notes.
Buying Manual Number: 205
Subject: Paying for Goods and Services that Do Not Require a PO Issued: July 8, 2010
Title: Vendor Setup Revised: July 1, 2019
Section 205
28
Step 3. Determine setup method and IRS form requirements
Disbursement voucher payees and purchase order vendors may be invited to register through our online
registration portal or entered manually in KFS. The appropriate registration method varies based on the
KFS vendor type. See the instructions and IRS form requirements in the table below.
KFS Vendor
Type
Setup Method
Paper IRS
form (W-9 or
W-8)
required?
Substitute
W-8
allowed?
Additional Info
DV
Disbursement
Voucher
Online registration portal
(PaymentWorks).
PaymentWorks provides
validation of taxpayer
identification numbers,
addresses, and bank
accounts, performs
OFAC screening,
includes a substitute W-
9 and requires an
uploaded W-8.
Required for
manual setup
only.
Never allowed
for students.
See limited
conditions
below.
KFS requires a
taxpayer
identification number
(i.e., social security
or federal employer
identification
number) to create a
new domestic
vendor.
RV
Refund &
Reimbursement
Manual process
No
No
Documentation of
name and address
should be attached
to the submission for
verification.
RF
Petty Cash
Custodian
Manual process
No
No
Should use a Cornell
remittance address.
SP
Special
Payments
Manual process
No
No
PO
Purchase Order
Request on requisition –
Procurement will use
online registration portal
(PaymentWorks) to
register new vendor
Required for
manual setup
only.
Never allowed
for Students.
See limited
conditions
below.
KFS requires a tax
identification number
(i.e., social security
or federal employer
identification
number) to create a
new domestic
vendor.
Note: If a foreign vendor is set-up in KFS without an IRS Form W-8 or substitute W-8, the University Tax
Office is required by IRS regulations to withhold 30% from payments to the vendor/payee.
Conditions for utilizing the Substitute W-8 (Certificate of Foreign Status Form)
•
This substitute form can ONLY be used with foreign payees or vendors when services and/or
purchases of goods are 100% foreign, meaning at no point will that individual/company come
into the United States at all.
•
This form will only be used with foreign payees or vendors who provide services, or we
purchase goods from,
100% outside of the country for the entirety of the contract.
•
If at any point during the contract there will be services which may be performed within the
United States, then this form will not be allowed to be utilized.
Buying Manual Number: 205
Subject: Paying for Goods and Services that Do Not Require a PO Issued: July 8, 2010
Title: Vendor Setup Revised: July 1, 2019
Section 205
29
•
If at any point during the contract the terms change and the source of the services or
products change to be in any way domestic sourced, a W-8 series form must be completed
before payment can be processed.
•
This form cannot be accepted without signature.
•
This substitute form may not be used for any type of payment made to a student, including
prizes and awards.
•
If you have tax specific questions, send an email to ta[email protected].
To access the form, visit the Tax Office website at
https://www.finance.cornell.edu/tax/fordepartments/tax-forms.
Step 4. Vendor setup processes by KFS vendor type
Domestic and Foreign Vendors
1. DV – Disbursement Voucher Vendors
a. Using PaymentWorks, the service center staff member sends an email invitation to the
vendor so the vendor may complete the automated registration process
b. The vendor should follow the instructions in the email invitation to complete the two-step
registration process
c. The information submitted in PaymentWorks will automatically route to the vendor reviewer in
Procurement for approval
d. Neither the unit nor the service center should request a W-9 from the vendor unless
instructed to do so by Procurement.
2. RV – Refund & Reimbursement Vendors
a. If you are processing a travel reimbursement and you anticipate that a taxable, reportable
payment will also be made to the vendor, e.g., a speaker fee, then set up as a DV vendor.
b. The service center staff member will manually enter the vendor’s information in the KFS
vendor e-doc and submit it for approval.
i. A W-9 is not required for Refund and Reimbursement vendors; therefore, neither the
unit nor the service center should request a W-9 from the vendor.
ii. Documentation of vendor name and address should be attached to the submission.
c. Do not code as Foreign as Cornell has no tax reporting responsibilities for the types of
transactions authorized for Refund and Reimbursements.
i. If the vendor is foreign, add a note to the Notes and Attachments tab indicating the
vendor’s foreign status and country of citizenship/incorporation.
3. RF – Petty Cash Vendors
a. The service staff member will manually enter the vendor’s information in the KFS vendor e-
doc and submit it for approval.
i. A W-9 is not required for Petty Cash vendors; therefore, neither the unit nor the
service center should request a W-9 from the petty cash custodian.
b. The remit address must be a Cornell address.
c. Address line 1 must include the words Petty Cash along with the name of the unit, e.g., Petty
Cash – Vet Accounting Service Center.
4. SP – Special Payments
a. Tax Office approval for this payment type must be attached to the vendor e-doc.
b. The service staff member will manually enter the vendor’s information in the KFS vendor e-
doc and submit it for approval.
i. A W-9 is not required for Special Payment vendors; therefore, neither the unit nor the
service center should request a W-9 from the vendor.
Buying Manual Number: 205
Subject: Paying for Goods and Services that Do Not Require a PO Issued: July 8, 2010
Title: Vendor Setup Revised: July 1, 2019
Section 205
30
5. PO – Purchase Order
a. The requisition initiator should include the vendor’s contact information, including email
address, on the requisition.
b. When the requisition routes to Procurement, a procurement agent or assistant will use
PaymentWorks to generate an email registration invitation to the vendor.
c. The vendor should follow the instructions in the email invitation to complete the two-step
registration process.
d. The information submitted in PaymentWorks will route to the vendor reviewer in Procurement
for approval.
Alternative: Manual process for creating Disbursement Voucher and Purchase Order
Vendors.
If a vendor or payee refuses to complete the PaymentWorks registration process, please follow the
process below:
1. Email support@paymentworks.com to cancel the invitation.
2. Be aware that social security numbers are classified as high-risk data per University Policy 5.10
Information Security.
a. Request that the payee/vendor submit the completed IRS form via drop box, US Mail, or
secure fax. Email is not a secure method of transmission.
b. The scanned W-9 or W-8 form must be deleted from your hard drive after it has been
attached to the vendor e-doc.
c. Paper copies of the W-9 or W-8 forms should be shredded when no longer needed.
3. Request the appropriate forms in compliance with CIT Sensitive Data Storage and Transmission
guidelines.
a. Domestic or resident alien – IRS Form W-9
b. Foreign – IRS Form W-8, W-8BEN-E, or Certificate of Foreign Status form
c. Vendor information form (purchase order vendors only)
4. Attach the completed form to the appropriate vendor e-doc. Do not e-mail W-9 or W-8 forms.
Compliance with IRS requirements
IRS Form W-9 for Domestic Payees and Vendors:
In compliance with IRS regulations, Cornell University must obtain a payee’s correct taxpayer identification
number and legal name as it appears on their federal income tax return to report taxable, reportable
payments made to vendors and individuals. IRS Form W-9 must be obtained from any vendor that is an
individual who is a United States citizen or resident alien or a business entity organized in the United
States. If a vendor/payee registers via PaymentWorks, the W-9 information is collected and there is no
need to collect a paper form.
IRS Form W-8 for Foreign Payees and Vendors:
The IRS forms for foreign payees can be found on the IRS website at www.irs.gov. Per IRS regulations,
the W-8 submitted must be the latest version that appears on the IRS website at www.irs.gov; otherwise,
we cannot accept it. All versions of IRS Form W-8 expire three years after being signed.
Required W-8 Versions
Ownership Type
IRS Form Required
Foreign individual
W-8BEN
Foreign business entity (corporation)
W-8BEN-E
Foreign non-profit or government organization
W-8EXP
Foreign partnership
W-8IMY
Foreign person who claims his/her income is effectively connected with the
conduct of trade or business in the US
W-8ECI
Questions on foreign status, tax or withholding shall be directed to the Tax Manager at [email protected].
Buying Manual Number: 205
Subject: Paying for Goods and Services that Do Not Require a PO Issued: July 8, 2010
Title: Vendor Setup Revised: July 1, 2019
Section 205
31
Responsibilities for Vendor Set-up
End Users:
• End users should NOT request W-9s or W-8s unless requested to do so by the SSC or
Procurement. This will only happen if the SSC or Procurement has trouble obtaining the required
documentation from the vendor.
• Determine if there is an established supplier who provides the needed good or service.
a. Use Find a Supplier to identify a registered supplier who has provided the needed good
or service.
b. Check the Preferred and Contract supplier list to determine if a supplier relationship has
been established for the needed good or service.
• Complete the I Want document or follow the process outlined by the SSC. Include all contact
information for the vendor you want to use. At a minimum, include the vendor’s name, email
address, fax number and telephone number.
Service Center Staff Members:
• The PaymentWorks vendor initiator role has been assigned to service center staff for
disbursement voucher payees as defined in Buying Manual sections 201 and 203.
• The KFS vendor initiator role has been assigned to service center staff for disbursement voucher
payees (i.e., DV, RV, RF, SP vendor types).
• Service center staff will use PaymentWorks to set-up domestic and foreign DV vendors.
• Service center staff will not request W-9s or W-8s from vendors unless expressly asked to do so
by Payment Services or if the vendor refuses to complete the PaymentWorks registration
process.
• Service center staff will use the KFS vendor e-doc, i.e. the manual process, to set up Petty Cash
(type RF) vendors or Refund & Reimbursement (type RV) vendors.
• Service center staff will request domestic and foreign PO vendors on the requisition. Include all
contact information for the vendor – especially the vendor’s name and email address.
• Payment Services is responsible for maintaining the KFS vendor database.
Procurement Services:
• The PaymentWorks and KFS vendor initiator roles have been assigned to Procurement staff for
purchase order vendors (PO vendor type).
• Procurement will use PaymentWorks to set up all domestic and foreign PO vendors.
• If the requisition does not include sufficient information for Procurement to send the automated
registration invitation to a vendor, Procurement may disapprove the unapproved purchase order.
• The vendor reviewer will review all new, updated, edited vendor documents in PaymentWorks
and KFS and correct, approve, or disapprove the request.
Buying Manual Number: 300
Subject: PCard Issued: February 9, 2009
Title: Introduction Revised: September 15, 2023
32
Section 300
PCard
Introduction
A procurement card (also known as a “pcard”) is a credit card issued by a financial institution to an
organization to make direct purchases from vendors. The card is issued in an employee’s name and may
be used for certain low-dollar, business-related purchases, where the good or service is not available
through e-SHOP. There are per transaction and monthly dollar limits on the cards, as well as certain
good and services that are prohibited from payment by pcard. Since the pcard is a university liability, the
bill is paid centrally by Cornell for all balances; no purchase order or reimbursement process is
necessary.
All pcard purchases must be for business purposes only and in full compliance with other university
policies, particularly University Policy 3.14, Business Expenses. The cardholder is responsible for
providing documentation of all purchases on the card, as described in Section 303 Documentation
Requirements, and for ensuring that any expense paid by pcard is not otherwise submitted for
reimbursement or used for any inappropriate purpose.
A file of pcard transactions is provided by our issuing bank each day. When the transactions in this file
are uploaded to Cornell’s financial system (Kuali Financial System or KFS), one email notification is sent
to the cardholder for each transaction on his/her pcard. The cardholder will respond to this email within 10
days by selecting a link within the email to access the PCard Receipt Processing System. This system
makes it easy for cardholders to submit documentation electronically. Cardholders will upload an
electronic version of any required receipt and enter the business purpose and account(s) to be charged.
Caution: Failure to use the pcard in compliance with university policy, including the terms outlined in
this manual, can result in the suspension or revocation of the pcard and possible disciplinary action.
Fraudulent use of the pcard can result in employee termination, expulsion from school (for students), and
criminal charges.
Note: The terms and conditions associated with a purchase order provide certain legal protection to
the university and therefore, there may be instances where the cardholder chooses to request a purchase
order rather than utilizing a pcard. Consult your Service Center if you believe a purchase order may be
the best method of procurement for your intended purchase.
Buying Manual Number: 301
Subject: PCard Issued: February 9, 2009
Title: Eligibility and Dollar Thresholds Revised: October 30, 2023
33
Section 301
Eligibility
Only those individuals whose job description supports the need to make frequent business-related
purchases are eligible to apply for a procurement card. Cards are generally issued to regular, full-time,
staff members; however, all applications are evaluated based on need (e.g., types of goods/services
needed, number of potential transactions, other payment options, prior history of pcard use and, in rare
instances, the credit worthiness of the applicant.)
Cautions:
• An individual who approves procurement card transactions in KFS (i.e., Fiscal Officer or
primary/secondary delegates for PCDOs) may NOT hold a procurement card because effective
internal controls require separation of duties.
• An individual may be issued only one procurement card per unit served by the same service
center.
• Cardholders may not transfer the pcard to a new position. A new position, with different
responsibilities and a new supervisor, requires completion of the pcard application process if the
use of a pcard is requested.
• Individuals, who have previously had a write-off on a corporate travel card account, are not eligible
to hold a pcard.
Eligibility for $5,000 pcard
This card limit is available for select staff with procurement responsibilities in the following areas:
•
Facilities Procurement
•
Cornell High Energy Synchrotron Source (CHESS)
•
Cornell Laboratory for Accelerator-based Sciences and Education (CLASSE)
•
Laboratory of Atomic and Solid-State Physics (LASSP)
•
Cornell University Hospital for Animals (CUHA)
•
Animal Hospital Diagnostic Center (AHDC)
•
Johnson College of Business Hotel Finance
•
Student and Campus Life Procurement and Sourcing
•
Student and Campus Life Finance
•
Enterprise units with delegated spend authority, as listed in Appendix B of University Policy 3.25
Procurement of Goods and Services.
The higher limit is restricted to the specified delegated
spend area only.
To be eligible for the card, the employee must meet both of the following criteria:
•
Not have any known pcard policy violations in the prior 24 months
•
Be employed in a purchasing role in one of the units identified above
Dollar Threshold
A dollar limit applies to each transaction on a pcard, and a monthly limit applies to the total purchases
made within one monthly cycle (cycle ends approximately the 15
th
of each month). Standard pcard limits
are as follows:
• Regular cardholder:
o $500 per transaction; $5,000 per month
o $1,500 per transaction; $10,000 per month
o $2,500 per transaction; $20,000 per month
o $5,000 per transaction; $50,000 per month (has unique eligibility criteria listed above)
• SSC cardholder: $10,000 per transaction; $100,000 per month
Buying Manual Number: 301
Subject: Paying for Goods and Services that Do Not Require a PO Issued: February 9, 2009
Title: Eligibility and Dollar Thresholds Revised: October 30, 2023
Section 301
34
A cardholder must never "split" the cost of one single item (whether good or service) into multiple
payments in order to circumvent the per transaction limit on the pcard. In addition, cardholders must not
make multiple purchases of the same item such that the total combined value of the purchases would
require the completion of a bid through Procurement Services (see The Purchase Order Process section
of this manual for details on the bid process). If a cardholder needs to make a purchase that is not
appropriate for the pcard, they will consult the Service Center representative or unit purchasing specialist
to determine the best procurement method for the purchase.
Notes:
• Monthly cycle limits may be increased if the level of spending and compliance warrant.
Buying Manual Number: 302
Subject: PCard Issued: February 9, 2009
Title: Prohibited Transactions Revised: July 1, 2024
35
Section 302
Prohibited Transactions
Certain transactions are prohibited on procurement cards because the good or service requires additional
review for reasons of tax, insurance, a contract or other regulatory issues. Prohibited transactions may
result in suspension or revocation of the procurement card, or other disciplinary action.
Note: If paying for services, consult the Purchases with Special Procedures: Paying for Services
section of this manual.
Type of Purchase
Description
Animals and Custom
Antibodies
Live vertebrates and custom antibodies require pre-transaction review
per University Policy 1.4, Care and Use of Animals in Teaching and
Research. Only individuals employed in the SSC, who record these
transactions in the Cayuse Animal system, may utilize pcard for the
payment of animals.
Architectural and
Engineering Services
In accordance with Cornell policy, authority for these transactions
requires the additional review of the University Architect. Only those
individuals employed in Contracts and Capital Projects, or the SSC,
may execute these transactions via pcard.
Audit Services
In accordance with Cornell policy, authority for this transaction requires
the additional review of the University Auditor. Only those individuals
employed in the University Audit Office, or the SSC, may execute these
transactions via pcard.
Capital Assets
The purchase of capital assets require recording in the capital assets
system per University Policy 3.9, Capital Assets.
Cash Advances or Cash
Transfers
Cash advances of university funds require pre-transaction review per
University Policy 3.2, University Travel and, therefore, are not allowed
on pcard. Cash cannot be obtained through an ATM, nor will cash
transfers through a third-party, such as, Western Union, Convera,
Venmo, CashApp, Xoom, or Tango be allowed.
Catering
Catering occurs when a vendor prepares, sets up, serves or cleans up
food on Cornell controlled property, including both facilities owned by
Cornell and facilities that may be rented or leased and only under
Cornell’s control for the period of the event, i.e., rented banquet facility.
Catering should not be confused with simple food delivery where no
service is provided on site, i.e., pizza delivery.
Conflict of Interest,
Vendor
Purchases from vendors where a potential conflict of interest exists
require pre-transaction review, per University Policy 4.14, Conflicts of
Interest and Commitment.
Controlled Substances
A controlled substance is generally a drug or chemical whose
manufacture, possession, or use is regulated by federal and/or state
government. A purchase order and appropriate license and registration
are required. See section 628, Controlled Substances.
Buying Manual Number: 302
Subject: PCard Issued: February 9, 2009
Title: Prohibited Transactions Revised: July 1, 2024
Section 302
36
Type of Purchase
Description
Cornell Unallowable
Goods/Services
Purchases identified as Cornell unallowable in University Policy 3.14,
Business Expenses, are not allowed, regardless of the source of funds
or mode of payment.
Deposits/Partial
Payments/Multiple
Payments
Do not make partial payments where the total value of the purchase
exceeds your procurement card transaction limit. Do not circumvent
your per transaction limit by making multiple payments on your pcard
against a single invoice. Each payment on a pcard must be supported
by an individual invoice/receipt.
Donations
Any voluntary contribution of cash or property to any organization
outside of the university, regardless of source of funds. All donations
over $500 require pre-approval by University Relations. Donations may
not be paid via pcard; see your Service Center for payment options.
Employees
Per IRS tax guidelines, you may not pay:
1. A current employee via pcard
2. An individual who has been employed by Cornell at any time in the
current calendar year via pcard
Equipment Rental
The issuance of a purchase order is required for the rental of any type
of equipment that is powered by gas or other fuel, electricity, or battery,
for example, lift, bulldozer, backhoe.
e-SHOP Vendors
Do not use your pcard to purchase from a vendor that is available in e-
SHOP.
Exception: If the supplier’s site within e-SHOP does not offer the
needed item or a needed function (e.g., expedited shipping, bundling, or
configurable products), you may use your pcard to purchase directly
from the e-SHOP supplier as long as the intended purchase is
otherwise allowed on pcard. Include the reason for purchasing outside
of e-SHOP in your documentation.
Gasoline for personal or
rental vehicles
Gasoline for vehicles used during university travel may not be paid via
pcard; this includes gasoline for a personal vehicle or a unit-owned or
leased vehicle. Note: When a personal vehicle is utilized for business
travel, the university reimburses the traveler based on mileage. When
renting a vehicle for university travel, a Travel and Meal card may be
used for gasoline and other travel-related expenses; see University
Policy 3.2, Travel Expenses.
When a unit owns or has a long-term lease for a vehicle that is driven
only locally (i.e. driver incurs no other travel-related expenses such as
meals or lodging), or requires gasoline for other equipment, that
gasoline may be paid via pcard.
Gifts Cards/Certificates
Gifts cards and/or certificates are generally classified as taxable income
by the IRS and may not be purchased with a procurement card,
regardless of the dollar amount or purpose of the gift. Contact the SSC
for guidance.
Buying Manual Number: 302
Subject: PCard Issued: February 9, 2009
Title: Prohibited Transactions Revised: July 1, 2024
Section 302
37
Type of Purchase
Description
Insurance
You may not pay for insurance premiums, co-payments, deductibles, or
services with your procurement card. For information on purchasing
insurance, please contact Risk Management and Insurance. Only those
individuals employed in Risk Management and Insurance, or the SSC,
may execute these transactions via pcard.
Investment Services
In accordance with Cornell policy, authority for these transactions
requires the additional review of the university's Investment Office. Only
those individuals employed in the University Investments Office, or the
SSC, may execute these transactions via pcard.
Lasers
The purchase of any type of laser requires reporting and potentially
training by Environment, Health and Safety, and therefore, lasers may
not be purchased via pcard. Lasers may be purchased through e-SHOP
or on a purchase order. Use a commodity code of 41115307 on the
requisition.
Late Fees/Fines/
Collection Agencies
Late fees, fines, and payments to collection agencies are generally
considered Cornell unallowable based on University Policy 3.14,
Business Expenses and, therefore, will not be paid by any method,
including pcard. Direct questions to shared-services-
center@cornell.edu.
Legal Services
In accordance with Cornell policy, authority for these transactions
requires the additional review of the Office of General Counsel. Only
those individuals employed in the Office of General Counsel, their
Service Center, or the Law School clinics, may execute these
transactions via pcard.
Non-Preferred Suppliers
Do not use the pcard to purchase goods and services from a non-
Preferred Supplier, where the good or service is available from a
Preferred Supplier.
Parking Fees, Permits,
Road Tolls
The pcard may not be used to pay for parking for individual faculty, staff
or students.
Parking fees, permits, and road tolls incurred at an individual’s normal
business location are considered a personal expense and will not be
paid via pcard or any other form of university payment, per University
Policy 3.14, Business Expenses. In addition, parking fees, permits, and
tolls for faculty, staff, or students will not be paid via pcard while in travel
status.
Parking fee exceptions: Parking for incoming visitors at campus
locations may be paid via pcard. In addition, when business needs
require a faculty, staff or student to be at a local office that is different
from their primary workspace, and they are not in travel status, those
parking fees may be paid via pcard. For example, a staff member’s
primary work location is Caldwell Hall, but they are required to attend a
meeting at Seneca Place; or the English department is hosting an event
at Treman Park.
Buying Manual Number: 302
Subject: PCard Issued: February 9, 2009
Title: Prohibited Transactions Revised: July 1, 2024
Section 302
38
Type of Purchase
Description
Personal Expenses
Do not purchase any good or service that is primarily for personal use.
Use of this card for personal expenses is governed by University Policy
3.6, Financial Irregularities. Using the card in this manner with the
intention of reimbursing Cornell is NOT an acceptable practice.
Caution: Many items lend themselves to personal use, such as
magazines and newspaper subscriptions. It is the cardholder's
responsibility to provide documentation to support that the purchase of
an item that lends itself to personal use is essential to fulfilling his or her
job responsibilities.
Pest Control
These services must be coordinated with the customer service center in
the Department of Facilities Management, due to the potential use of
pesticides. Contact your local building coordinator. Only those
individuals employed in the Department of Facilities Management, or
the SSC, may execute these transactions via pcard.
Radioactive Materials
Environment, Health & Safety must approve all requests for radioactive
materials prior to an order being placed with a vendor. See the
"Radiation Safety Manual" for further information on purchasing
radioactive material.
Real Estate Services,
Purchase, Rental, etc.
In accordance with Cornell policy, authority for these transactions
requires the additional review of the university's Real Estate Office.
Only those individuals employed in the Real Estate Department, or the
SSC, may execute these transactions via pcard.
Refund or
Reimbursement
The pcard is intended for the payment of good and services only and is
not to be used to send funds to an individual for a refund or
reimbursement. For more details on the appropriate method for
initiating a refund or reimbursement, see section 203.
Security Systems,
Building
Building security systems must be coordinated through the Cornell
Police and must not be purchased with a procurement card.
Services Performed on
University Property
Nearly all services, regardless of where they are performed, require
both a contract and verification that the vendor meets the university’s
insurance requirements. Therefore, pcard holders may not pay for
services being performed on university owned or controlled
property, except those services that are being performed by a vendor
who has signed a university contract and whose services are not
already specifically prohibited.
Contracted vendors performing the services listed above may be found
on Procurement Services’ web site at
http://www.finance.cornell.edu/procurement/supplierlistview.
Contact your Service Center to discuss the appropriate payment
for any other service PRIOR to engaging the service provider.
Services Requiring a
Contract
Any service requiring a contract will not be paid via pcard; contracts
must be reviewed and approved by Procurement Services. Complete
an IWNT doc for payments of this nature as soon as a vendor has been
identified.
Buying Manual Number: 302
Subject: PCard Issued: February 9, 2009
Title: Prohibited Transactions Revised: July 1, 2024
Section 302
39
Type of Purchase
Description
Software,
Software Licenses,
Software as a Service,
Cloud Services
Before any IT applications, software, or services are purchased, the
university’s IT Governance process must be followed regardless of
dollar amount. Follow the steps outlined below to determine if your
purchase is eligible for payment by pcard.
Step 1. Determine if the university already holds licenses for your
desired product/service by visiting https://it.cornell.edu/software-
licensing. If not available from the university, proceed to step 2.
Step 2. Determine if an IT Statement of Need (SoN) is required by
reviewing: https://it.cornell.edu/itgovernance/scenarios-when-it-
statement-need-or-isnt-required. Software purchases with click-through
agreements require completion of the SoN process and approval from
the IT Project Management Office.
a) When the SoN is not required:
1) Any purchase that requires a signed contract must be
processed via purchase order.
2) If no contract is needed, you may pay via pcard.
When documenting the pcard transaction, include the
reason the SoN was not required.
b) For purchases that require a SoN, proceed to Step 3.
Step 3: Submit an IT Statement of Need (SoN) found at
https://it.cornell.edu/itgovernance/submit-it-statement-need After
receipt of the SoN, the IT Project Management Office will email you a
Checklist for Purchasing Administrative IT Software and Services
outlining required next steps.
a) If your checklist indicates that the order must be sent to
Procurement, and/or if the supplier’s contract requires a
signature then a Purchase Order is required. Complete an
IWNT doc and attach supplier’s license agreement and all CIT
required documents.
b) If your checklist does not indicate that the order must be sent
to procurement, follow all other instructions and payment may
be made via pcard. When documenting the pcard transaction,
include the “next steps” email and documentation showing the
outcome or results of those steps.
For addition information refer to:
• Buying Manual section 618, IT Governance Process
• Software Acquisition and License Management at
https://it.cornell.edu/software-licensing
Buying Manual Number: 302
Subject: PCard Issued: February 9, 2009
Title: Prohibited Transactions Revised: July 1, 2024
Section 302
40
Type of Purchase
Description
Space Rental – Event
and Other
Payment for rental of any type of space is not allowed on pcard as a
purchase order is required. Complete an IWNT doc for payments of this
nature as soon as a vendor is identified.
Exceptions:
The rental of a pavilion in a City of Ithaca, Tompkins County or New
York State Park is allowed on individual pcard as your online
reservation requires a credit card to complete.
The rental of a Cornell-owned space by another Cornell unit, if not
eligible internal transfer, may be paid by pcard.
Travel-Related
Expenses
Any travel-related purchase or rental is prohibited (e.g., hotel, motel,
airline, train, bus, taxi, limousine, or cruise fare; rental of vehicle or any
type of watercraft; fuel for vehicles not owned by the university; road
tolls of any kind; travel agency purchase; parking lot fees). Certain
travel-related merchants have been blocked from accepting
procurement cards.
Note:
1. Conference registration fees may be charged to your procurement
card if the fee does not exceed your transaction limit.
2. For university owned vehicles and equipment in or near Ithaca, fuel
can also be obtained at the university’s Fuel Station at 209 Solidago
Road. For information on setting up an account, contact
fleet@cornell.edu.
3. If you are planning a group or visitor travel, contact the SSC.
Travel Meals
You may not charge meals to your procurement card while you are
traveling for the university if that travel includes an overnight stay.
Vehicle Rental
The rental of any type of car, truck (including moving truck), van, bus,
or limousine is prohibited on pcard. This includes both rentals while in
travel status and locally.
Note:
1. Towing services may be paid via pcard for any university owned,
rented, or leased vehicle.
2. For rental vehicles, always contact the rental company first to
determine their preferred process for arranging towing services. The
Travel and Meal Card is also an option for the payment of towing
services for a rental vehicle.
Watercraft Rental,
Cruise or Boat Fair
Payment for the rental or lease of any type of watercraft is prohibited
on pcard. In addition, fees for passage on any type of watercraft will
not be paid via pcard. These high-risk activities require the issuance of
a purchase order in advance.
Buying Manual Number: 303
Subject: PCard Issued: February 9, 2009
Title: Documentation Requirements Revised: October 30, 2023
41
Section 303
Documentation Requirements
Documenting Procurement Card Transactions
Cornell requires procurement card holders to submit sufficient documentary evidence for purchases on
procurement cards to comply with university policies, sound business practices, and the requirements of
external and internal reviewers. Cardholders will receive an email from the PCard Receipt Processing
System for each transaction on the card and will provide required documentation via the PCard
Transaction Details form in response to this email, within 10 days. A PCard Transaction Details form
must be completed for ALL transactions including purchases, credits, disputed transactions, and fraud, to
document the business purpose (or explanation in the case of disputes or fraud) and account description.
Sufficient documentary evidence includes certain original receipts (see number 1 below) and an
explanation of business purpose (see number 2 below.)
1. An “original” receipt is based on what a particular vendor generally provides as proof of
purchase, for example: cash register tape, detailed packing slip, copy of an order form (for
registrations, applications, subscription, etc.), web receipt or email acknowledgement from
vendor, etc. Receipts should include description of item(s) purchased, vendor name, date,
quantity, unit price, and total cost. If any relevant information is not included on the receipt, the
cardholder will include the missing details within the Business Purpose section of the PCard
Transaction Detail form (see “Electronic Submission of Documentation” at the end of this section).
An original receipt is required at all dollar amounts for pcard transactions charged (or
transferred) to sponsored awards (fund CG) and ALL federal appropriations (sub fund
APFEDL). For other fund types, an original receipt is only required for purchases that are $75.01
and above. Required original receipts will be submitted using the PCard Transaction Detail form,
as described in “Electronic Submission of Documentation.” Cardholders will retain the original
copy of all required documentation for 60 days from the date of form submission.
Note: Third-party billing companies such as PayPal generally do not include detailed
information about the item(s) purchased. The cardholder should, in cases such as this, provide a
copy of the web page that identifies the item(s) purchased and the web receipt from the third-
party billing company.
In cases where any required original receipt is not immediately available, the cardholder
will create a document containing the following: an explanation as to why the original receipt is
not available, details about the transaction including a description of item(s) purchased, vendor’s
name, date of purchase, quantity, unit price, total cost, account(s) to charge and, as described
below, a description of the business purpose. The cardholder will submit this document, in lieu of
the receipt, as an attachment to the PCard Transaction Detail form. To simplify this process for
the cardholder, a “Missing Receipt Affidavit” is available at
www.finance.cornell.edu/procurement/buyers/credit-cards/procurement-card/forms. Caution: A
Missing Receipt Affidavit may not be accepted by some external auditors. To avoid the possibility
of disallowance on sponsored awards (fund CG) or federal appropriations (sub fund APFEDL),
units may wish to use discretionary funds when an original receipt cannot be obtained.
2. An explanation of the business purpose of the item(s) purchased should include specific
information about why the purchase occurred (i.e., lab supplies for study of honeybees). A
description of the item purchased must also be included when that information is not clear on the
receipt, or when a receipt is not required. For the payment of business meals and other food, the
business purpose must include a list of the attendees.
Buying Manual Number: 303
Subject: PCard Issued: February 9, 2009
Title: Documentation Requirements Revised: October 30, 2023
Section 303
42
Caution: The business purpose must be written in terms that would be clear to an external
reviewer, especially in cases where the item could lend itself to personal use (e.g., CDs, videos,
meals, and so forth).
Notes:
Some vendors provide only an estimate of shipping charges when goods are ordered
and, therefore, the amount listed on a receipt will sometimes vary from the amount
actually charged to the pcard.
Some vendors mistakenly send pcard receipts to the central university address that is
used for accounts payable invoices, rather than to the cardholder, which can account for
a cardholder never receiving a receipt.
Electronic Submission of Documentation
A file of pcard transactions is provided by our issuing bank each day. When the transactions in this file
are uploaded to Cornell’s financial system (Kuali Financial System or KFS), one email notification is sent
to the cardholder for each transaction on his/her pcard. The cardholder will respond to this email within
10 days by selecting a link within the email to access the PCard Transaction Detail form. This system
makes it easy for cardholders to submit documentation electronically. Cardholders will upload an
electronic version of any required receipt and enter the business purpose and account(s) to be charged or
credited.
The cardholder’s submission of electronic documentation creates a record in the pcard receipt processing
system. The pcard coordinator in the service will access that record in the service center workflow
queue. Coordinators use the information submitted by the cardholder to review the pcard document
(PCDO) in KFS. After reviewing the record, updating, and approving the PCDO, the coordinator routes
forward the pcard receipt processing system record. A batch process runs each night that matches the
forwarded images to the appropriate PCDO and attaches the electronic documentation to the PCDO.
Buying Manual Number: 304
Subject: PCard Issued: February 9, 2009
Title: Special Topics Revised: September 15, 2023
43
Section 304
Special Topics
Accounts with Additional Restrictions
There are restrictions on the types of accounts that may incur pcard charges or be used as a default
account:
• Accounts that cannot incur procurement card charges
o State appropriation construction accounts (Sub fund PLSUCF)
o Receivable accounts (Object codes with object type AS.; accounts with sub fund BALSHT;
invested funds IN)
• Accounts that may not be default accounts
o State appropriation accounts (Sub fund APSTAT)
o Agency accounts (Sub fund EXTORG, external organizations which were formerly Agency
accounts)
• Accounts where procurement card charges may not “auto release”
o State appropriations (Sub fund APSTAT)
o Federal appropriations (Sub fund APFEDL)
o Any grant or contract account (Fund CG)
Note: The purchaser must comply with all sponsor and other requirements on restricted accounts. The
purchaser must not charge federal unallowable expenses or costs generally considered indirect, such as
office supplies, to sponsors.
Inactive PCards
An unused and potentially unmonitored credit card account creates the opportunity for fraudulent use by
unauthorized parties; therefore, Credit Card Programs will close any pcard account that is not used at
least once in any one-year period. Unused cards will be identified at least monthly, and Credit Card
Programs will notify the cardholder of the account closure.
Any pcard not used at least 12 times in any one year should be reviewed for closure. To facilitate the
closure of low use pcards, each January Credit Card Programs will supply Service Center director with a
prior year report of transaction totals by cardholder. It is the responsibility of each Service Center director
to review this information with Unit Managers, notify cardholders whose accounts are to be closed, and
then request that the Credit Card Programs close the selected accounts. The SSC may also choose to
review and close infrequently used accounts that have been opened for less than 12 months.
Outside Compliance Reviews
Credit Card Programs, University Audit Office, or other auditing agencies will periodically review
procurement card transactions. Based upon these reviews, pcard accounts may have transaction limits
reduced, be suspended or permanently revoked, or other disciplinary action may be taken.
Note: Any financial penalties associated with external audits by regulatory agencies are the
responsibility of the unit. These penalties may be greater than the amount of the transaction because
auditors extrapolate results based on their sample testing.
Internal Sales (Cornell Vendors)
If your unit accepts procurement cards for internal sales, those sales must be recorded on your credit
card sales deposit as interdepartmental revenue. This entry into the general ledger is performed
automatically by Cash Management if an internal merchant account has been established. For more
information, contact Cash Management and see University Policy 3.17, Accepting Credit Cards to
Conduct University Business.
Buying Manual Number: 305
Subject: PCard Issued: February 9, 2009
Title: Procedures Revised: October 30, 2023
44
Section 305
Procedures
Applying for a Procurement Card
Those interested in obtaining a pcard should first contact their supervisor to discuss eligibility. Those
individuals who believe they are eligible for a card will then complete an online tutorial and pass an exam.
This will ensure that individuals understand and agree to the responsibilities of a cardholder prior to
applying for a card. After completing the tutorial and exam (see “PUR 111 – Procurement Card Tutorial
and Exam” found at culearn.cornell.edu), submit a “Request a Procurement Card Application” form.
The application form requires the signature of the applicant, supervisor, and unit manager or chair. Credit
Card Programs reviews all materials and, if approval is granted, will contact the prospective applicant via
email with final details on the card issuing process.
Notes:
• Cardholders are encouraged to review the written instructions on submitting documentation, which
may be found on the Procurement website.
• An individual may receive only one pcard per unit served by the same Service Center.
• Cardholders may NOT transfer a pcard to a new position. A new position, with different
responsibilities and a new supervisor, requires completion of the pcard application process if the
use of a pcard is requested.
Procurement cards are sent via US Mail, by the issuing bank, to the address provided on the application.
Replacement cards will be automatically mailed to that same address no later than seven days before the
card’s expiration date. Please note that once your card is issued you must notify Credit Card Programs of
your primary address change by completing the Credit Card Update Form as updates made in Workday
are not shared with the issuing bank.
Dispute Process - Correcting Erroneous Charges on the PCard
If a cardholder authorizes a vendor to charge his or her pcard, and the resulting charge is incorrect, the
cardholder should first contact the vendor and attempt to resolve the error. Some examples of common
“errors” are incorrect dollar amount, duplicate charge, credit not received. If the error is not resolved by
contacting the vendor, the cardholder will contact the financial institution to initiate a charge dispute.
Charge disputes must be initiated within 60 days of the statement date on which the error appeared. The
financial institution must acknowledge the “charge dispute” within 30 days of receipt of the report. Within
90 days of receipt of the report, the financial institution will correct the error or provide an explanation as
to why the charge is correct.
Caution: If the cardholder has not authorized a vendor to charge the pcard, then the cardholder must
assume that an unauthorized party has obtained his or her pcard number and must contact the financial
institution immediately. The pcard account will be shut down and a new plastic, with a new account
number, will be mailed to the cardholder. The financial institution may also request that the cardholder
complete an additional form (mailed to them by the financial institution) confirming the fraudulent use of
the pcard.
Lost or Stolen PCards
If a pcard is lost or stolen, the cardholder must contact the financial institution immediately to ensure that
fraudulent use of the pcard does not occur. The financial institution will shut down the pcard account and
will mail a new plastic, with a new account number, to the cardholder.
Buying Manual Number: 305
Subject: PCard Issued: February 9, 2009
Title: Procedures Revised: October 30, 2023
Section 305
45
Cardholders Change of Status
If a cardholder changes positions within the university, or terminates employment, their pcard must be
closed. If a cardholder is on any type of university leave that extends beyond 14 days or is for an
unknown duration, that individual’s pcard must be suspended. The individual’s supervisor will inform the
Service Center of the date that the cardholder’s leave will start or as soon thereafter as
possible. Suspending the pcard will prevent unauthorized use of the account during a time when the
cardholder is not available to dispute the charge. See Account Closures and Other Changes to
Procurement Cards for further details on suspending an account.
Purchases Rejected by Vendors
If a purchase is declined at the point of sale, the cardholder will first contact the financial institution to
obtain the reason, then contact Credit Card Programs if they can provide further assistance. If a card is
accidentally destroyed or is damaged and cannot be used, the cardholder will contact the financial
institution to request a replacement card.
Account Closures and Other Changes to Procurement Cards
For address changes, account suspensions, account closures, name changes, or any other change of the
pcard account, procurement card coordinators will complete an online Credit Card Update form, found at
https://www.finance.cornell.edu/procurement/buyers/credit-cards/procurement-card/forms.
Note: When a procurement card is lost or stolen, and the financial institution subsequently issues a
new plastic with a new account number, a Credit Card Update form does not need to be submitted. (See
“Lost or Stolen PCards” above.)
Expiring Procurement Cards
A pcard near its expiration date will automatically be replaced by the financial institution, no later than 7
days prior to the end of the month in which the card expires. If a replacement for the expiring pcard is not
received, and it is within 7 days of the end of the month in which the card will expire, the cardholder will
contact the financial institution.
Buying Manual Number: 306
Subject: PCard Issued: October 1, 2017
Title: Policy Violations Revised: October 30, 2023
46
Section 306
Policy Violations
University Policy 3.25, Procurement of Goods and Services, and its appendix, this Buying Manual,
provide guidelines that are designed to ensure sound business practices and full compliance with other
university policies, as well as various external requirements, such as IRS regulations, federal OMB
circulars, etc. Procurement card usage must be monitored to ensure that violations of university policy
are detected and handled in such a way as to deter future violations. This section of the Buying Manual
will provide a course of action in response to a policy violation and identify the party responsible for any
follow-up action.
1. Failure to Submit Documentation
One of the most significant problems related to the use of pcards is the failure to provide
documentation to substantiate a transaction, as described in “Documentation Requirements.”
Without adequate supporting documentation, the Service Center cannot be sure which account or
object code to select. Credit Card Programs can identify pcard transactions (PCDOs) in the Kuali
Financial System (KFS) that do not have an attachment and are therefore, assumed to have had
no supporting documentation provided to the university. To reduce this behavior, Credit Card
Programs will suspend all pcards held by an individual who has a pcard transaction in
KFS age to 30 days or greater, with no attachment. The process is as follows:
• An automated report runs daily to identify any PCDO that was created in KFS more than 30
days prior but has no attachment (business purpose, account, etc.).
• For each transaction identified, an email notifying the cardholder of the suspension of their
pcard is automatically sent to the cardholder, with a copy going to Credit Card Programs.
• Credit Card Programs will suspend the appropriate account in the bank system. Cardholders
whose accounts have been suspended must meet the following criteria to have their account
reinstated:
• Account will remain suspended for a minimum of 30 days.
• Cardholder will submit the PCard Transaction Detail form, with required
documentation attached for each transaction.
• Cardholder will complete the PCard Tutorial and successfully pass the accompanying
exam (PUR 111 is found at culearn.cornell.edu).
• After the above criteria have been met, the cardholder may request reinstatement by
submitting a “Request to Reactivate Suspended PCard” form.
• Should a pcard be suspended a third time in any rolling twelve months, Credit Card Programs
may suspend the account for a longer period time, reduce the transaction limit on the card, or
revoke the card.
Note: As described in Documentation Requirements, when an original receipt is not available,
the cardholder must provide a written explanation as to why the original receipt is not available,
details about the transaction including a description of the item(s) purchased, vendor’s name,
date of purchase, quantity, unit price, total cost, account(s) to be charged and a description of
business purpose. Cardholders may utilize the
Missing Receipt Affidavit form to provide these
details.
Other Types of Policy Violations
Other types of policy violations are most easily identified by the pcard coordinator in the service center.
Buying Manual Number: 306
Subject: PCard Issued: October 1, 2017
Title: Policy Violations Revised: October 30, 2023
Section 306
47
Should the pcard coordinator determine that a pcard transaction represents a violation of policy, he/she
will report this violation to the Service Center Director, who is responsible for evaluating the violation
based on the information provided in this Buying Manual. Requests to suspend or reinstate a pcard will
be made to Credit Card Programs.
1. Lending or Sharing of a pcard
Any instance of lending or sharing a pcard should result in a minimum 60-day suspension of the card.
This is a significant violation as knowingly sharing a card or card number will negatively impact the
cardholder’s ability to dispute charges and identify fraudulent transactions.
Other factors that may lead to suspension of your pcard include, but are not limited to the following:
2. Performance of a prohibited transaction (see section 302, Prohibited Transactions)
3. Splitting a Transaction
The cost of a single item (whether good or service) must not be split into multiple payments in order
to circumvent the per transaction limit on the pcard.
4. Exceeding or Circumventing the PCard Transaction and/or Cycle Limit
Merchants can (and do) force through transactions without verification of a card's limits. Take
into consideration whether the cardholder should have been aware that an order would total more
than his/her per transaction limit. Each transaction on the card will be supported by a single invoice;
multiple payments may not be made against a single invoice. It is also a violation when multiple
purchases of the same items are made such that the total combined value of the purchases would
require completion of a bid through Procurement Services.
5. Late submission of documentation
Submitting documentation more than 10 days after the transaction will generally cause the automatic
release of that charge against the card’s default account. This violation is significant as it creates an
expense for the university without supporting documentation. The Service Center cannot know which
account or object code to select without adequate supporting documentation and therefore, additional
work is created when the charge (or credit) must be moved to a different account or object code.
6. Submitting written explanations for missing, lost, not received receipts, in lieu of originals
Submitting a written explanation (or Missing Receipt Affidavit) for missing, lost, not received receipts,
in lieu of originals may warrant a suspension if/when the frequency or circumstances do not appear
reasonable. Each instance must be evaluated individually.
7. Accidental personal use of the pcard
8. Any other use of the pcard that violates this, or other, university policies.
Any violation fitting the title above must be evaluated individually by the Service Center Director and
may require immediate suspension of the card.
Note: If a cardholder's pcard is revoked for noncompliance with policy, the individual cannot
apply for a subsequent card.
Buying Manual Number: 307
Subject: PCard Issued: December 22, 2014
Title: Special Considerations for SSC Cardholders Revised: July 25, 2024
48
Section 307
Special Considerations for Shared Services Center
Cardholders
This section describes special permissions that have been granted to the Shared Services Center
procurement cardholders for the payment of catering other event-related expenses, and various services.
To qualify for a payment (including a deposit) on a Shared Services Center (SSC) pcard, all of the
following general conditions must be met, in additional to any specific restrictions listed in each topic
below.
Payment for Cornell faculty, staff and student group travel and visitor travel may be processed on a
Travel and Meal (T&M) card. Please see section 352, for a description of transactions prohibited on a
T&M card. Please note the following cautions:
• Payment of travel expenses for students are subject to many rules and regulations and must
often be processed through Financial Aid. Class trips, conference attendance, or other
mission related educational travel may be directly paid from unrestricted department funds
only. Travel awards (regardless of sources of funds), travel stipends and payment for travel
from funds designated for scholarship must be processed through the Financial Aid
System (RUSS form). Pay special attention to documenting the business purpose for
student travel. Contact the University’s Tax Manager for more information or clarification.
Before paying any travel related expense directly on behalf of a student, consult with
[email protected]du to verify that it does not need to be processed through Financial Aid.
• If the hotel requires only a “confirmation/reservation form” that notes just the
number of rooms, dates, cost, and cancellation policy, then it is acceptable for the
unit to complete and sign this form.
Caution: If the hotel requests completion of a form that has any additional terms
and conditions that may be considered a “contract”, then a purchase order must
be issued and the contract signed by Procurement, prior to any payment (including
a deposit) being made.
General Conditions for all SSC PCard Transactions
• Payments must be made using an SSC pcard; authorization may NOT be extended to a
regular card or cardholder, unless specifically stated.
• The SSC will be allowed to pay a deposit up to the first $10,000 of the expenses
described in this section using
an
SSC pcard so long as the necessary purchase order
has been issued
prior
to any such payment (including a deposit) being
made.
• When the transaction’s total exceeds $10,000, payment of the balance remaining after
the deposit is
paid
via SSC pcard, must be requested via the purchase order
process.
• When collection of insurance certificates is required (as listed in each topic below), the
insurance must
be
verified prior to any payment (including a deposit) being
made.
• When a transaction is paid for using both a pcard and the PO process, each transaction
must contain
a
reference to the other to create an appropriate audit trail. The SSC will
record the
Procurement Card Doc (PCDO)
number found in KFS from the initial pcard
payment in the Notes tab of the PO that
was
issued for the remaining balance. In
addition, the PO number will be recorded in the Notes tab of
the PCDO.
•
When extenuating circumstances indicate that a payment that is prohibited on pcard
must be made via the procurement card, the SSC cardholder will obtain prior written
Buying Manual Number: 307
Subject: PCard Issued: December 22, 2014
Title: Special Considerations for SSC Cardholders Revised: July 25, 2024
Section 307
49
permission from Credit Card Programs, which will be included with the pcard
documentation.
Caution: Payments may not be requested via Disbursement Voucher (DV) because this
payment method does not advance “administrative ease” for the institution
.
Note: Procurement Services (Procurement) will assist in the collection of insurance certificates
from vendors when required per Section 405.Notify Procurement far enough in advance
of
any payment (including a deposit) to allow adequate time to request and receive the required
insurance certificates.
University Events: Catering and/or Event Space Rental
Outlined below are the limited instances in which an SSC pcard may be used for payments up to
$10,000 for catering, event space rental, and events that include both food and space. All
conditions outlined must be met for any payment (including a deposit) to be made on an SSC
pcard. Refer to section 700, Paying for Services.
Caution: A university Travel and Meal card may NOT be used for the payment of catering and/or
event space rental.
Considerations when Making Payments for Catering and/or Event Space Rental:
• Catering occurs when a vendor prepares, sets up, serves, or cleans up food on Cornell
controlled property, including both facilities owned by Cornell and facilities that may be
rented or leased and only under Cornell’s control for the period of the event, i.e., rented
banquet hall. Catering should not be confused with simple delivery where no service is
provided on site, i.e., pizza
delivery.
• The SSC should confirm insurance certificates are on file for high-risk activities and, when
possible, attach the documents to the pcard doc (PCDO) in KFS. Deposit payments via pcard
need not be delayed based upon receipt of the insurance documents since Cornell’s standard PO
terms and conditions contain language on indemnification.
• It is recommended that deposits be limited to 50% of the total and that 100% of the order
total is not paid in advance.
• Only Procurement Services has the authority to sign vendor contracts for goods or services
(see section 409, Contracts for additional information).
Catering Only
• The unit will submit an IWNT document with the vendor contract and quote or scope of work.
• The SSC will create a requisition and submit to Procurement if a vendor contract or quote with
terms and conditions (requiring a signature) is attached. See section 700, Paying for Services.
• If any payment is due in less than ten days, please note the due date on the Requisition.
Consider following up with Procurement Services via email, as described below in Conditions for
Review and Approval of Contracts by Procurement Services.
• After the purchase order is issued, the SSC may proceed with a deposit up to 50% of the total,
not to exceed $10,000.
• If the total payment (sum of deposit and final payment) exceeds $10,000, the final balance should
be paid through the purchase order process.
Buying Manual Number: 307
Subject: PCard Issued: December 22, 2014
Title: Special Considerations for SSC Cardholders Revised: July 25, 2024
Section 307
50
• After the deposit (if any) is made, the Service Center will note the PCDO number on the purchase
order. In addition, the purchase order number will be recorded in the Notes field of the PCDO.
• If the final payment must be processed via SSC pcard due to vendor requirements and no
payment will be issued against the purchase order, the SSC will void the purchase order and note
the PCDO number when documenting the reason.
Caution: If a caterer provides its own contract, mark the requisition as line-item restricted to
route the order to Procurement Services.
Note: If the caterer has signed a University Contract or Pricing Agreement, then that
caterer has already agreed to
Cornell U
niversity’s terms and conditions and a purchase
order can be issued with a quote. Additional Procurement review is not necessary. To
determine if your caterer has signed a
University
Contract or Pricing Agreement, see the
“
Caterer and Restaurant List” on Procurement Services website
at
https://www.finance.cornell.edu/procurement/buyers/hiring-caterers.
Event Space Rental and Event Space with Catering (same process)
In nearly all cases, vendors supplying event space or event space with catering will present the unit with
their own contract.
• Attach the vendor contract and quote to the requisition. Mark the requisition as line-item restricted
to route the order to Procurement Services. See section 700, Paying for Services.
• After the purchase order has been issued, the Service Center may proceed with a deposit up to
50% of the total, not to exceed $10,000.
• If the total payment (sum of deposit and final payment) exceeds $10,000, the final balance should
be paid through the purchase order process.
• After the deposit (if any) is made, the Service Center will note the PCDO number on the purchase
order. In addition, the purchase order number will be recorded in the Notes field of the PCDO.
• If the final payment must be processed via SSC pcard due to vendor requirements and no
payment will be issued against the purchase order, the SSC will void the purchase order and note
the PCDO when documenting the reason.
For your convenience, this information is in a chart on the Procurement website at
http://www.finance.cornell.edu/procurement/buyers/hiring-caterers.
Please refer to the
following:
•
Buying Manual Section 700, Paying for
Services
Other Services
Service Centers are routinely requested to pay for services (or deposits on a service) via pcard.
This occurs even at low dollar levels since regular cardholders have been restricted to a finite list
of services that are considered low risk (see details in Section 302, PCard Prohibited
Transactions). For these reasons, we are providing below some general information on issues to
consider when procuring services.
Most services, regardless of where they are performed, require a contract. Even when the service
provider does not require a contract, it is the responsibility of the Service Center to evaluate the
service being provided to determine if the resources of the university would be best protected by
the issuance of a contract. This may be a contract that is specific to the service being provided
and/or the standard terms and conditions associated with a purchase order. The Service Center
Buying Manual Number: 307
Subject: PCard Issued: December 22, 2014
Title: Special Considerations for SSC Cardholders Revised: July 25, 2024
Section 307
51
should consider the total value of the services, the possible need for a warranty, and risk to
property and persons that could create a liability to the university. Safeguarding the assets of the
university must be the first consideration when engaging a service provider.
Note: There are some commonly used service providers that have already signed a university
wide contract; see the preferred and contract supplier list on the Procurement website at
http://www.finance.cornell.edu/procurement/supplierlistview.
For a service to be eligible for payment up to $10,000 via SSC pcard, all the following conditions for
use must be met.
Conditions for Use
A. The entity being paid for the service must be a corporation, partnership, LLC or LLP. If you
are paying an individual, i.e., not one of the business entities listed, you must refer to
Section 700 of this manual and perform the Independent Contractor analysis in order to
ensure that you are NOT paying an individual who should be classified as an employee and
paid through the payroll system.
Caution: You may not pay a current employee via pcard. You may not pay an individual who
has been employed by Cornell at any time in the current calendar year via pcard. You may not
pay a foreign national for services performed within the United States via pcard. You may not pay
for services performed by an individual outside the United States via pcard.
B. The contract (when needed) must be executed by Procurement prior to any payment
(including a deposit) being made. See Conditions for Review and Approval of Contracts
by Procurement Services below.
C. The service provider must meet Cornell’s insurance requirements. This rule applies
regardless of where the services will be performed.
Conditions for Review and Approval of Contracts by Procurement
Services
For those limited instances, when an expedited payment or deposit is needed, a requisition should
be submitted with a note that the deposit or payment is due by a certain date and permission is
needed to issue the payment via pcard. Procurement will review the contract and issue the
purchase order. When a contract is necessary, the appropriate Unit representative will review the
document and signify
review
and acceptance of the vendor’s terms by submitting an I Want
Doc. The SSC will process the requisition and route to Procurement. Procurement will perform
the final review and sign the agreement
on
behalf of the
University.
Gift Cards and Gift Certificates
Gift cards, also known as gift certificates or e-gifts, are considered equivalent to cash by the Internal
Revenue Service and in most instances must be reported as taxable income to the recipient. Service
Center pcard holders may pay for a gift card/certificate on behalf of a unit when all the following
conditions are met:
The use of the gift card/certificate must comply with University Policy 3.14, Business Expenses,
particularly related to expenses benefiting faculty, staff or students.
When the recipient is an employee (U.S. citizen, foreign national, and resident and nonresident
aliens) or a student employee, the Service Center will ensure completion of the Gift Card/Certificate
Reporting form PRIOR to the purchase of a gift card/certificate at all dollar levels.
Buying Manual Number: 307
Subject: PCard Issued: December 22, 2014
Title: Special Considerations for SSC Cardholders Revised: July 25, 2024
Section 307
52
When the recipient is a non-employee, the Service Center will ensure completion of the Gift
Card/Certificate Reporting form PRIOR to the purchase of a gift card/certificate when the value
exceeds $75.
The authority to pay for a gift card/certificate on pcard may NOT be delegated by the Service Center
to any regular cardholder except as outlined below under “Gift Cards and Gift Certificates for Human
Subjects Participating in Research”.
Gift cards/certificates may not be charged to sponsored fund accounts unless the recipient is a
human research participant.
Service Center pcard holders procuring gift cards/certificates will familiarize themselves with the
following information located at www.finance.cornell.edu/tax/fordepartments/giftcards:
o Instructions and requirements for completing the Gift Card/Certificate Reporting form
o Tax reporting rules, including withholding charged to the unit, that must be communicated to
the unit
o The Cornell Appreciation and Recognition award program (alternative to a gift
card/certificate)
Direct questions on gift cards/certificates reporting to the University Tax Office at
tax@cornell.edu.
Gift Cards and Gift Certificates for Human Research Participants
Units should be directed to section 630, Human Research Subject Payments, which includes information
on the use of Tango Cards to purchase gift cards for these unique payments. For those rare instances,
when a physical gift card is necessary or when Tango Cards cannot be used, then the service center may
issue a memorandum of understanding as described below.
When gift cards/certificates are being provided to individuals who are participating in a research project
and that project requires the identities of the human subjects to remain confidential, the service center
may delegate the authority to pay for gift cards/gift certificates with a pcard to a regular cardholder in the
unit. The Service Center will create a memorandum of understanding with the unit that includes, at a
minimum, the following:
Name of individual cardholder approved to purchase gift cards/gift certificates.
Begin and end date of the delegation, which should align with the specific research project for
which the gift cards/certificates are needed.
Name of individual in charge of the research who will be requesting the unit cardholder to make
gift card/gift certificate purchases.
The number of gift cards/gift certificates and value of each, if known.
Requirement that the explanation of business purpose for the purchase include a reference to the
MOU and date.
Requirement that the unit maintains all relevant private payment information for possible tax
reporting.
Requirement that unit has procedures in place to track any unused gift cards/certificates.
Requirement that the unit and Service Center maintain an MOU in compliance with University
Policy 4.7, Retention of University Records.
Caution: Procuring gift cards/certificates for human subjects participating in a research project where the
subjects’ identify must be kept confidential is the ONLY circumstance under which the Service Center
Buying Manual Number: 307
Subject: PCard Issued: December 22, 2014
Title: Special Considerations for SSC Cardholders Revised: July 25, 2024
Section 307
53
may delegate the authority to pay for gift cards/certificates to a regular cardholder in the unit. The Service
Center may NOT authorize these payments at amounts greater than the maximum $2,500 per transaction
limit currently available to a regular cardholder.
Note: When the recipient is a human subject or research participant (regardless of employment status),
the Gift Card/Certificate Reporting form is not required. However, units should maintain all relevant private
payment information for possible tax reporting. Consult Cornell’s
Institutional Review Board for Human
Participants or Survey Research Institute.
Donations
The voluntary contribution of cash or property to any organization outside of the university, regardless of
the sources of funds, is considered a “donation.” When requested by its customer, a Service Center may
utilize a pcard for a donation when all the following conditions are met:
The donation must comply with University Policy 3.12, Business Expenses.
Donations with a value of more than $500 must be approved by The Office of University
Relations, and approval must be attached to the PCDO.
Object code 6390 will be used for contributions from Cornell to an outside entity.
Object code 6420 will be used for payments in lieu of flowers.
The authority to donate utilizing a pcard may NOT be delegated by the Service Center to any
regular cardholder.
Please note that sponsorships, advertising, or other engagements with reciprocal value are not
considered “donations” and are not subject to prior approval, even if using Object Code 6390 Donation
from Cornell. For example, a department sponsorship of a conference with or without recognition of such
sponsorship is not considered a donation that requires approval from Community Relations.
Buying Manual Number: 308
Subject: PCard Issued: February 9, 2009
Title: Responsibilities Revised: October 30, 2023
54
Section 308
Responsibilities
Cardholder
1. Read and understand this policy.
2. Keep your pcard number confidential; lending or sharing the card is not allowed. Keep your card
secure (on your person or in a locked file/drawer).
3. Report a lost or stolen card immediately to the financial institution.
4. Comply with the per-transaction and overall monthly cycle limit on your procurement card.
a. Never "split" the cost of one single item (whether good or service) into multiple
payments in order to circumvent the per transaction limit of the pcard.
b. Do not make multiple payments against a single invoice; each charge on your card
must align with an individual invoice/receipt.
c. Do not make multiple purchases of the same item such that the total combined value
of the purchases would have required the completion of a bid through Procurement
Services. See “The Purchase Order Process” section of this manual for details on
the bid process.
5. Consult your Service Center if you need to make a purchase that is not allowed on pcard, or that
exceeds your pcard transaction limit.
6. Purchase only business-related items permitted by University Policy 3.14, Business Expenses.
Do NOT purchase any good or service contained in “Prohibited Transactions”; never use the card
for personal expenses.
7. The cardholder is responsible for ensuring that any expense paid by procurement card is not
otherwise submitted for reimbursement or used for any inappropriate purpose.
8. Inform the vendor that your purchase is exempt from New York State sales tax. If the vendor will
not grant a sales tax exemption, note the vendor's refusal on your receipt.
9. Submit sufficient documentary evidence, including any required original receipts, account(s) to be
charged, and an explanation to support the business purpose of each transaction on your card
via the PCard Receipt Processing System. You must redact any sensitive data (e.g., credit card
numbers) from the documentation prior to uploading it. Submission of the documentation will
occur within ten days of your receipt of the email notification from the PCard Receipt Processing
System. See “Documentation Requirements” for further details on documentation.
Caution: The requirement to provide sufficient documentary evidence exists even when you
are away from your primary work location, especially in light of increased credit card fraud.
Caution: If the amount charged to your pcard differs from the amount on your receipt, contact
the merchant and note the reason for the price difference within the business purpose field of
the PCard Receipt Processing System.
10. For any documentation that must be submitted via the PCard Receipt Processing System, as
outlined in “Documentation Requirements,” retain original documentation for 60 days from the
submission date. Follow your department procedures for storage location.
11. Review your credit card statement upon receipt and if any errors are identified, follow the
procedures outlined in “Dispute Process - Correcting Erroneous Charges on the PCard.”
Note: Credit card statements, both paper and electronic, are issued only if there is activity on
the account during the month. These statements are not subject to
University Policy 4.7,
Retention of University Records, and paper statements may be shredded if unit practice permits
(supervisors may wish to review and/or retain statements).
12. If you authorize a regular monthly charge to your card, you are responsible for notifying the
vendor in the event that your card number changes, or your account is closed or suspended.
Buying Manual Number: 308
Subject: PCard Issued: February 9, 2009
Title: Responsibilities Revised: October 30, 2023
Section 308
55
Caution: Failure to comply with university policy, including all procedures outlined in this
manual, will result in the suspension or revocation of your procurement card.
Service Center Director
1. Appoint one or more procurement card coordinators (i.e., Fiscal Officer’s delegates for PCDOs in
KFS). This person must have appropriate knowledge of financial, purchasing and accounting
policies and be employed directly in your center
2. Initiate procurement card applications, as requested by supervisors after reviewing:
a. for reasonableness of request
b. to determine applicant’s prior history of policy compliance (assuming he or she previously
held a pcard in a unit served by your Service Center)
Caution: If an applicant formerly held a pcard, there must be compelling evidence that the
card is essential for that individual’s job function and that they were compliant with university
policies related to procurement cards. See the Credit Card Programs web pages for further
details on the application process.
3. Review the policy violation information provided by your procurement card coordinator(s)
4. Take appropriate action to ensure that violations of this policy result in the suspension or
revocation of the procurement card, as described in section 306, Policy Violations.
5. Review with Unit Managers any pcard that has not been used at least 12 times in any one year
for possible closure. Notify each cardholder, whose account is to be closed, and then request that
Credit Card Programs close the account
6. Report incidences of possible abuse of procurement card privileges, or the fraudulent use of a
procurement card, to the University Audit Office, as required by University Policy 3.6, Financial
Irregularities.
Note: Contact Credit Card Programs, in the Shared Services Center, at any time for guidance
on suspensions, revocations, and other issues.
Credit Card Programs
1. Administer change to this manual
2. Provide guidance (Service Center directors, procurement card coordinators, supervisors, and
cardholders)
3. Provide information and updates to procurement card coordinators as needed
4. Review applications
5. Serve as university contact with financial institution issuing procurement cards
6. Close pcards as requested by Service Centers
7. Suspend/revoke procurement cards as necessary based on the results of reviews by pcard
coordinators, the University Audit Office, other external auditors, and/or the findings of Credit
Card Programs, as described in section 306, Policy Violations
Procurement Card Coordinator
1. Read and understand this manual
2. Complete the procurement card online tutorial. For instructions and a link to the tutorial in CU
Learn, please visit the Procurement website at
https://www.finance.cornell.edu/procurement/buyers/credit-cards/procurement-card/applying
3. Assist, as necessary, with procurement card applications, disputes, and account maintenance
Buying Manual Number: 308
Subject: PCard Issued: February 9, 2009
Title: Responsibilities Revised: October 30, 2023
Section 308
56
Caution: Do NOT store credit card numbers.
4. Review each procurement card charge found in your KFS action list to ensure that each charge
has sufficient supporting documentation, an appropriate object code, and a documented business
purpose that is in compliance with university policy and other restrictions applicable to the
account. Each PCDO doc in KFS should, when possible, be reviewed as described and then
approved prior to the doc auto-approving in KFS. Utilize the scanned images and other data
provided by the cardholder in your pcard receipt processing system workflow queue. After
approving the PCDO, route the record in the workflow queue.
Caution: When sales tax is a component of a transaction that is otherwise classified as
federal unallowable (e.g., alcohol), it MUST be recorded with a federal unallowable object
code and must not be charged to Federal or State appropriations or any grant or contract
account (Funds AP and CG.) Sales tax on goods/services that are not classified as federal
unallowable does not require a federal unallowable object code.
5. Determine that any credit issued for a procurement card purchase reflects the exact account
number(s) charged for the initial purchase
6. When a cardholder provides necessary documentation after a transaction has already auto-
posted to their default account, ensure that:
a. The transaction is placed on the correct account; creating a general ledger transfer (GLT)
when needed.
b. Necessary information (i.e., what was purchased, business purpose, explanation of why
original receipt not turned in) is attached to the PCDO, preferably through the PCard
Receipt Processing System, as described in “Documenting Procurement Card
Transactions”.
c. If the transaction was not performed by the cardholder, direct the cardholder to contact
the bank so that the charge may be disputed or reported as fraudulent (see details on
disputing a transaction in “Dispute Process – Correcting Erroneous Charges on the
PCard” in Section 305)
7. Report to your Service Center director or designee any violation of university policy, including this
manual. Violations include, but are not limited to: missing documentation, performance of a
prohibited transaction, splitting a transaction, lending/sharing of pcard, transactions exceeding the
pcard limit, accidental personal use of pcard, late submission of documentation
8. Request closure of procurement card accounts based upon instructions provided by the
cardholder's supervisor, unit human resources representative, or Service Center director. For
details on closing an account, see Account Closures and Other Changes to Procurement Cards,
in this manual
9. Report incidences of possible abuse of procurement card privileges, or the fraudulent use of a
procurement card, to the University Audit Office, as required by University Policy 3.6, Financial
Irregularities
Supervisor
1. Request that a procurement card application be initiated by your Service Center ONLY for those
individuals whose position requires frequent business-related purchases, as outlined in their job
description
2. Implement procedures to re-evaluate the need for a procurement card whenever a staff member's
job requirements or status changes
3. When a staff member begins any type of university leaves that extends beyond 14 days, or will be
for an unknown duration, request that your Service Center suspend the pcard. Upon the staff
member’s return, the supervisor may request the Service Center re-activate the pcard by
submitting the Credit Card Update form.
Buying Manual Number: 308
Subject: PCard Issued: February 9, 2009
Title: Responsibilities Revised: October 30, 2023
Section 308
57
4. Implement procedures to ensure that any expenses charged on a procurement card that would
normally seem to be for personal use, such as CDs, videos, meals, and so forth, are based on
the cardholder’s job requirements
5. Respond to notifications from the service center regarding failure of your direct report (pcard
holder) to provide required documentation for a pcard charge
6. Submit a Credit Card Update form when an account must be closed due to termination or change
of status
7. Assist Credit Card Programs and/or the Service Center director in suspending or revoking a
cardholder’s pcard privileges, as requested
Unit Chair or Business Manager
1. Review procurement card applications to ensure that the applicant has job responsibilities that
include frequent business-related purchases
2. Assist the SSC director in suspending or revoking a cardholder’s pcard privileges, as requested
3. Review any pcard transaction that was received greater than 30 days ago that auto-posted to one
of your unit’s accounts, where the cardholder has not yet provided necessary documentation.
When the needed information can be obtained from the cardholder, provide the KFS edoc
number, business purpose and account number to your Service Center.
Senior Finance Group (SFG) Member
1. Review section 306, Policy Violations and understand your responsibilities.
2. Review the policy violations brought to your attention by Credit Card Programs and determine
whether it is reasonable to revoke or reactivate the card; communicate your decision to Credit
Card Programs.
Buying Manual Number: 352
Subject: Travel and Meal Cards Issued: October 1, 2017
Title: University Paid Travel and Meal Card Revised: July 1, 2024
58
Section 352
University Paid Travel and Meal Card
Introduction
A “travel and meal card,” also referred to as the T&M card, is a university liability credit card that is issued
in an employee’s name. The card is used for the payment of travel-related business expenses, including
locally hosted business meals. The bill for all charges on T&M cards is paid centrally by the university.
Cardholders will not make any payments to the issuing bank.
Charges to the T&M cards are automatically uploaded to the university’s travel expense system, Concur.
Cardholders are required to complete expense reports within Concur in a timely fashion, in compliance
with University Policy 3.2, Travel Expenses. Completing the expense report allows transactions on the
travel card to be charged against one or more unit accounts.
All charges to the T&M card must be for business purposes only and in full compliance with other
university policies, particularly University Policy 3.2, Travel Expenses and 3.14, Business Expenses. The
cardholder is responsible for providing supporting documentation and an explanation of business purpose
for all charges to the T&M card.
Caution: Failure to use the T&M card in compliance with university policy, including the terms outlined in
this manual, can result in the suspension or revocation of the T&M card and possible disciplinary action.
Fraudulent use of the T&M card can result in employee termination, expulsion from school (for students),
and criminal charges.
Eligibility
Cornell University faculty and staff members are eligible to apply for a T&M card if the applicant has NOT
incurred a write-off (i.e., reached 180 days past due) on a personal liability corporate travel card AND
his/her position at the university requires any of the following:
1. Business travel at least twice per year
2. Booking of visitor travel
3. Hosting of business meals
Use of the Card
The T&M card is intended for the basic travel expenses of individual travelers such as transportation,
lodging and meals. See University Policy 3.2, Travel Expenses, for additional specific details about each
type of expense.
Allowed expenses include:
Type of Purchase
Description
Automobile Rentals
Details on university contracts with auto rental agencies can be
found at
https://finance.cornell.edu/procurement/buyers/commodities/vehicle-
rental
Conference Registration Fees
These fees are also eligible for payment via pcard.
Incidental Supplies During
Travel
Occasionally, the need for a supply may occur during travel, for
example, replacement of a traveler’s lost laptop cord.
Lodging
Hotel rooms for individual travelers.
Buying Manual Number: 352
Subject: Travel and Meal Cards Issued: October 1, 2017
Title: University Paid Travel and Meal Card Revised: July 1, 2024
Section 352
59
Meals
Meal costs for travelers are covered under per diem. Travelers
should familiarize themselves with the per diem allowance for their
destination to avoid the risk of making meal purchases on the T&M
that exceeds the allowance and having to return funds to the
university.
Hosted business meals, including those held locally, may be paid
with the T&M card. When an individual does not have a T&M card,
it is also acceptable to utilize a pcard for local business meals.
Transportation
Individual tickets on a common carrier – airlines, bus, boat, ferry,
taxi.
Travel Expenses for Colleagues
or Guests
The T&M card holder may utilize their card for the payment of the
travel expenses listed here for other university travelers, visitors, or
guests of the university. The cardholder is still subject to the
requirements outlined in “Documentation and Expense Report
Requirements.”
Caution: Do not pay the travel expenses of a vendor providing
services to the university, these expenses are to be submitted as
part of their invoice.
Prohibited from Payment on the T&M Card
The T&M card is not intended for use as a procurement tool for non-travel goods and services, services
requiring a contract, including expenses associated with events. Your T&M card is subject to suspension
if prohibited transactions are executed on the card.
Prohibited transactions include:
Type of Prohibited
Purchase
Description
Catering
Catering requires a contract to be executed by Procurement
Services and the issuance of a purchase order; payment is not
allowed via T&M card.
Catering occurs when a vendor prepares, sets up, serves, or cleans
up food on Cornell controlled property, including both facilities
owned by Cornell and facilities that may be rented or leased and
only under Cornell’s control for the period of the event, i.e., rented
banquet facility. Catering should not be confused with simple food
delivery where no service is provided on site, i.e., pizza delivery.
Charters
All charters (airplane, bus, boat, etc.) require a contract and the
issuance of a purchase order and will not be paid via T&M card.
Buying Manual Number: 352
Subject: Travel and Meal Cards Issued: October 1, 2017
Title: University Paid Travel and Meal Card Revised: July 1, 2024
Section 352
60
Event Space Rental
All space rental requires a contract and the issuance of a purchase
order and will not be paid via T&M card.
Goods and Services, non-travel
The T&M card is not a procurement tool for non-travel goods and
services.
Room Blocks
If the hotel requires a contract containing terms and conditions,
costs to cover a block of rooms at a hotel may not be paid via T&M.
A purchase order should be issued.
Services Requiring a Contract
Only agents in Procurement Services may execute contracts on
behalf of the university. Do not sign a vendor’s contract; submit your
documentation via the IWNT doc as soon as a service provider is
identified.
Personal Expenses
The T&M card is not to be used for personal purchases; however, it
is understood that there are limited circumstances when this may
occur. For example, a spouse attends a hosted business meal and it
is impractical to separate the bill. Under this type of circumstance,
the cardholder will be allowed to reimburse the university.
See University Policy 3.14, Business Expenses and University
Policy 3.2, Travel Expenses.
Applying
Applications for T&M cards will be supplied only to those individuals specifically authorized by their unit.
Those interested in obtaining the T&M card must complete an online tutorial and pass an exam prior to
applying for a card. This will ensure that individuals understand and agree to the responsibilities of a
cardholder prior to applying for a card. After completing the tutorial and exam (see “PUR 113 – Travel &
Meal Card” found at culearn.cornell.edu), contact your service center to request that an application for a
T&M card be initiated for you.
Cash Advance Requests
Travelers in need of a cash advance will make the request through Concur. T&M cards are not issued
with the cash access feature enabled (i.e., you cannot obtain cash via an ATM).
Documentation and Expense Report Requirements
Cornell requires that all cardholders submit documentation for all purchases on their T&M card. Sufficient
documentary evidence is necessary to comply with university policies, sound business practices, and the
requirements of external and internal reviewers.
Cardholders are required to ensure that documentation supporting each transaction on the T&M card is
stored electronically within Concur and associated with the appropriate expense report. University Policy
3.2, Travel Expenses, requires travelers to submit expenses and complete their expense report within 30
days, but no later than 60 days, of return from travel. In addition, cardholders must retain original
documentation for 60 days after their expense reports have been submitted. Failure to comply with
Buying Manual Number: 352
Subject: Travel and Meal Cards Issued: October 1, 2017
Title: University Paid Travel and Meal Card Revised: July 1, 2024
Section 352
61
documentation requirements, including the timely completion of an expense report within Concur, is
grounds for suspension of the T&M card.
See University Policy 3.2, Travel Expenses for details on documentation requirements for travel. Further
information on Concur, including creation of expense reports, can be found at
http://www.blogs.cornell.edu/travel/training-and-guides/.
Policy Violations
Failure to use the T&M card in compliance with university policy, including the terms outlined in this
manual, can result in the suspension or revocation of the T&M card and possible disciplinary action.
Fraudulent use of the T&M card can result in employee termination, expulsion from school (for students),
and criminal charges.
Examples of policy violations that may results in the suspension of the T&M card include, but are not
limited to:
1. Failure to supply documentation for charges to the card
2. Failure to complete expense reports within Concur in a timely fashion, as described in University
Policy 3.2, Travel Expenses
3. Payment of personal expenses with the T&M card beyond what may be considered reasonable,
as described under “Use of the Card”
4. Failure to reimburse Cornell in a timely fashion for any charge to the T&M card that has been
identified as personal
5. Use of the card for business expenses that were not related to travel or locally hosted business
meals, as described under “Use of the Card”
6. Lending/sharing your card
Since travel expense reports are reviewed by the KFS Org Manager (a position that is generally within the
unit), each KFS Org Manager is responsible for reporting all policy violations to the appropriate BSC
Director. A request for suspension will be sent to Card Programs by the BSC Director, or their designee,
and the card will remain suspended until such time as the violation has been corrected, i.e.,
documentation is submitted, expense report completed, repayment of personal expense is made.
If it is necessary to suspend a T&M card more than once in any 12-month period, the BSC Director will
notify the SFG member. If/when the SFG member is satisfied that the cardholder understands the
requirements of using a T&M card, he/she will submit a request to Card Programs to reinstate the card.
Errors on Your Card: Disputing a Charge/Reporting Fraud
Cardholders will receive a monthly statement from the issuing bank - this is not a bill. Cardholders will
NOT make a payment to the issuing bank. Cardholders should review all expenses on the monthly
statement for accuracy.
If a cardholder has authorized a vendor to charge his or her T&M card and the resulting charge is
incorrect, the cardholder should first contact the vendor and attempt to resolve the error. Some examples
of common “errors” are incorrect dollar amount, duplicate charge, or credit not received. If the error is not
resolved by contacting the vendor, the following steps will be taken:
1. The cardholder will contact the issuing bank to initiate a charge dispute.
2. The issuing bank will provide the cardholder with the appropriate charge dispute form.
3. The cardholder will complete the charge dispute form and fax it back to the financial institution
within 60 days of the statement date on which the error appeared.
4. The financial institution must acknowledge the charge dispute within 30 days of receipt of the
form.
Buying Manual Number: 352
Subject: Travel and Meal Cards Issued: October 1, 2017
Title: University Paid Travel and Meal Card Revised: July 1, 2024
Section 352
62
5. Within 90 days of receipt of the form, the financial institution will correct the error or provide an
explanation as to why the charge is correct.
Caution: If the cardholder has not authorized a vendor to charge the T&M card, then the cardholder
must assume that an unauthorized party has obtained his or her card number and must contact the
financial institution immediately. The card account will be shut down and a new T&M card, with a new
account number, will be mailed to the cardholder. The financial institution may also request that the
cardholder confirm the fraudulent use of the card by completing an affidavit of fraud form, which the
financial institution will mail to the cardholder.
Lost or Stolen Cards
If a T&M card is lost or stolen, the cardholder must contact the financial institution immediately to ensure
that fraudulent use of the card does not occur. The financial institution will shut down the travel card
account and will mail a new card, with a new account number, to the cardholder.
Cardholders Change of Status
If a cardholder is on any type of university leave that extends beyond 30 days or is for an unknown
duration, that individual’s card must be suspended. The individual’s supervisor will inform the SSC of the
date that the cardholder’s leave will start. Suspending the T&M card will prevent unauthorized use of the
account during a time when the cardholder is not available to dispute the charge. See Account Closures
and Other Changes to T&M Cards for further details on suspending an account.
Purchases Rejected by Vendors
If a purchase is declined at the point of sale, the cardholder may call the financial institution or his/her
service center to obtain the reason. If a card is accidentally destroyed or is damaged and cannot be
used, the cardholder will contact the financial institution to request a replacement card.
Account Closures and Other Changes to T&M Cards
Representatives of the cardholder’s service center will utilize the Credit Card Update form to request
name or address changes, account suspensions and closures. The form may be found on the
Procurement website at https://www.finance.cornell.edu/procurement/buyers/credit-cards/procurement-
card/forms.
Note: When a T&M card is lost or stolen, and the financial institution subsequently issues a new credit
card with a new account number; a Credit Card Update form does not need to be submitted. (See “Lost
or Stolen Cards” above.)
Expiring Cards
A T&M card near its expiration date will automatically be replaced by the financial institution, no later than
7 days prior to the end of the month in which the card expires. If a replacement for the expiring card has
not been received within 7 days of the end of the month in which the card will expire, the cardholder will
contact the financial institution.
Inactive Cards
An unused and potentially unmonitored credit card account creates the opportunity for fraudulent use by
unauthorized parties; therefore, Credit Card Programs will close any T&M account that is not used at
least once in any one-year period. Unused cards will be identified at least monthly, and Credit Card
Programs will notify the cardholder of the account closure.
Buying Manual Number: 352
Subject: Travel and Meal Cards Issued: October 1, 2017
Title: University Paid Travel and Meal Card Revised: July 1, 2024
Section 352
63
Any T&M card that is not routinely used at least once per year and/or where the cardholder no longer
meets the eligibility requirements outlined in this document should be reviewed for closure. To facilitate
the review of cards, each January, Credit Card Programs will supply BSC Directors with an annual report
of card usage. It is the responsibility of each BSC Director to review this information with Unit Managers
to ensure that all cardholders continue to meet minimum eligibility requirements. The BSC Director will
notify any cardholder whose account is to be closed and then submit the closure request to Credit Card
Programs.
Buying Manual Number: 353
Subject: Travel and Meal Cards Issued: October 1, 2017
Title: Responsibilities for University Paid Travel and Meal Card Revised: February 15, 2023
64
Section 353
Responsibilities for the University Paid Travel and Meal Card
Cardholder
Understand and abide by the requirements of using a T&M card as outlined in the Travel and
Meal Card section of this manual and University Policy 3.2, Travel Expenses.
Contact the issuing bank immediately if your card is lost or stolen, or if you identify a charge on
your card that you did not authorize.
Keep your T&M card number confidential (lending or sharing the card is not allowed) and the card
itself secure (keep it on your person or in a locked file/drawer).
Collect supporting documentation for all charges to the card and ensure that the documentation is
stored electronically, within Concur, and associated with the appropriate expense report.
Complete expense reports in Concur in a timely fashion in compliance with University Policy 3.2,
Travel Expenses.
Retain original documentation for 60 days after the expense report has been submitted.
Do not use the T&M card for personal expenses, beyond what may be considered reasonable, as
described under the “Use of the Card” section of the manual.
Caution: Any charge to the T&M card that is deemed to be a personal expense must be
reimbursed to the university.
Do not use the T&M card for business expenses that are not related to travel or locally hosted
business meals, as described under the “Use of the Card” section of the manual.
Caution: Failure to comply with university policy, including all procedures outlined in this
manual, may result in the suspension or revocation of your card.
Supervisor
1. Approve T&M card applications only for those individuals that meet the eligibility requirements
outlined in this manual.
2. Contact the SSC to request a card suspension if your direct report/cardholder will be on any type
of university leave for greater than 30 days or for an unknown duration.
3. Contact the SSC director to request a travel card closure if your direct report/cardholder is leaving
his/her position.
4. Assist the SSC in suspending or revoking a cardholder’s T&M card privileges, as requested.
KFS Org Manager
1. Review charges to the T&M card contained in expense reports.
2. Report any charges to a T&M card that do not comply with university policy, including this
manual, to your BSC director.
3. Collect reimbursement for any personal charge to a T&M card and forward to your BSC for
deposit; include instructions on the account that is to be reimbursed.
4. Assist the SSC in the yearly review of T&M cards and the determination as to whether the
cardholders continue to meet the eligibility requirements for a card.
5. Report incidences of possible abuse of T&M card privileges, or the fraudulent use of a card, to
the University Audit office, as required by University Policy 3.6, Financial Irregularities.
Buying Manual Number: 353
Subject: Travel and Meal Cards Issued: October 1, 2017
Title: Responsibilities for University Paid Travel and Meal Card Revised: February 15, 2023
Section 353
65
Service Center Director
1. Review card misuse, as reported by the KFS Org Manager, and request suspension of T&M
cards as outlined in this manual.
2. Request that Card Programs suspend a T&M card when a cardholder’s supervisor reports that
the cardholder is on leave.
3. Request that Card Programs close a T&M card when a cardholder’s supervisor reports that the
cardholder has left his/her position.
4. Deposit any reimbursement of personal charges to a T&M card to the account identified by the
KFS Org Manager.
5. Conduct an annual review with the KFS Org Manager of all T&M card holders in the unit and
close any account where the cardholder no longer meets eligibility requirements.
6. Report incidences of possible abuse of T&M card privileges, or the fraudulent use of a card, to
the University Audit office, as required by University Policy 3.6, Financial Irregularities.
Senior Financial Group Member
1. Review instances of card suspensions, as reported by the SSC.
2. Request reactivation of a suspended T&M card only in the event you believe the cardholder
understands the requirements of using a T&M card; contact creditc[email protected] to request
card reinstatement.
Credit Card Programs
1. Administer changes to this manual.
2. Provide guidance to campus, i.e., SSC directors, KFS Org managers, supervisors, SFG
members, and cardholders.
3. Provide information and updates to campus customers, as needed.
4. Review applications and contact the supervisor if an applicant does not meet the eligibility
requirements outlined in this manual.
5. Serve as university contact with the financial institution issuing cards.
6. Close or suspend cards as requested by the SSC director or a cardholder’s supervisor.
7. Revoke cards as requested by SFG members or as a result of the findings of University Audit or
external auditors.
Buying Manual Number: 400
Subject: The Purchase Order Process Issued: February 9, 2009
Title: Introduction to Purchase Orders Revised: September 15, 2023
66
Section 400
The Purchase Order Process
Introduction to Purchase Orders
In general, the purchase of all goods and services at the university requires the review and approval of
Procurement Services (Procurement). The primary method by which procurement and payment is
accomplished is the purchase order process.
Definition. A purchase order represents the university’s offer to buy goods and services. The purchase
order is a legally binding contract, with specific terms and conditions between the university and the
vendor. When all parties have fulfilled the obligations outlined on the purchase order, the university will
issue payment to the vendor.
Roles and Responsibilities. The system used to initiate, approve, and track a purchase order at the
university is the Kuali Financial System (KFS). The basic purchase order process is as follows: Unit/SSC
creates requisition (REQS) requisition reviewed/approved by Procurement PO issued to vendor
Vendor fills order and sends invoice to Cornell Cornell issues payment (check or ACH) to vendor.
Obtaining Access to KFS
Access to the requisition in KFS is managed by the SSC. If you need to purchase something that is not in
e-SHOP then contact your service center. To get access to e-SHOP, please complete the KFS access
request form. Typically, units submit their requests for purchases of goods and services to the service
center via an I Want Doc, email, or center’s form, and then the service center initiates the order in KFS.
Bid limits
For purchases under $25,000, the unit will select the vendor of their choice or preferred vendor if one is
available for the required goods and services. When not utilizing a preferred vendor, the unit is
encouraged to solicit competitive quotes. In addition, the Purchases with Special Procedures section of
this manual should be consulted to ensure that the unit is aware of all requirements related to the good or
service being ordered.
The university’s bid limit is $25,000. This is the dollar amount at which Procurement will undertake a
formal bid process prior to the issuance of a purchase order. See Section 402, Bid Solicitation and
Exemptions for the limited instances under which Procurement Services may exempt an order over
$25,000 from requiring a bid.
Large dollar orders require additional Procurement Services’ management approvals. The following are
the dollar levels when additional approvals are required:
• Up to $25,000 Procurement Associate
• Less than $100,000 Procurement Agent
• Less than $1,000,000 Senior Director, Procurement Services
• Over $1,000,000 less than $5 Million VP, Division of Financial Services
• $5 Million and over Board of Trustees
Types of Purchase Orders
Generally, there are two types of purchase orders (PO) – recurring and standard.
A recurring order is placed when there is a repeated need for expendable supply items and/or services
such as maintenance agreements, rental charges, and leases. Recurring orders are issued with control
parameters, such as a total dollar amount not to exceed, a specific time period for which the order is
valid, e.g., one-year, estimated quantities, and estimated items. If a vendor is available in e-SHOP, then
do not use a recurring order, place the order through e-SHOP.
Buying Manual Number: 400
Subject: The Purchase Order Process Issued: February 9, 2009
Title: Introduction to Purchase Orders Revised: September 15, 2023
Section 400
67
A standard PO is used when all items to be purchased are identified and listed when the order is sent to
the vendor. Once the ordered goods and services have been received, the vendor invoices Cornell, and
payment is made. There are four distinctions among standard POs:
1. e-SHOP orders - orders under $2,500 are automatically sent to vendor; orders greater than or
equal to $2,500 are routed for required approvals before being sent to the vendor. Starting a
requisition in e-SHOP is simpler and requires less manual data entry and ensures contract
pricing.
2. Automatic Purchase Orders (APOs) – orders for less than or equal to $25,000 are routed to the
unit’s Fiscal Officer (FO) for approval. An APO may not be utilized with new vendors, vendors on
hold, or for commodities that require review by a procurement agent.
3. Purchase Orders greater than $25,000 – these orders are routed to Procurement for review and
approval. Preferred vendors may have a higher APO limit. Please review the Buying Manual
section on Bid Solicitation and Exemptions.
4. New York State Purchase Orders – these orders are processed through the SUNY procurement
system. Please review the topics under New York State Procurement for further details on orders
utilizing New York State Appropriated funds.
Buying Manual Number: 401
Subject: The Purchase Order Process Issued: February 9, 2009
Title: Creating a Purchase Order Revised: September 15, 2023
68
Section 401
Creating a Purchase Order
Creating a Requisition in KFS
The requisition serves as the units’ request for goods or services. The following list of resources is
intended to guide units in properly completing a requisition in the Kuali Financial System (KFS). Please
review the Requisition tutorial (KFSPUR-400 REQS) before proceeding.
• Purchasing Tutorials
o KFSPUR-400 OV (Purchasing Overview)
o KFSPUR-420 CS (Vendor Contract Search)
o KFSPUR-400 REQS (Requisition)
o KFSPUR-400 e-SHOP (e-SHOP) – new training tutorial created in April 2021
o KFSPUR-400 POA (PO Amendments)
o KFSPUR-430 VSU (Purchasing Vendor Set-Up)
If you need further assistance after reviewing the tutorials, please contact the Procurement Services
(Procurement) at procure.suppo[email protected]. Additional training resources are available on the
Procurement Web site at https://www.finance.cornell.edu/procurement/e-shop/training.
If you do not have authorization from your service center to access KFS but need to begin the
procurement process,
contact the SSC for assistance. Your service center will use the information you
provide to create a requisition in KFS.
Progress Payments
Cornell’s standard payment terms are Net 60 days from date of invoice. Other terms may be negotiated
by the unit and Procurement. Examples of other terms include discounts for early payment or progress
(milestone) payments on projects.
Use of progress payments incorporates risk. Approval of partial payment prior to a product or service
being provided leaves the University with limited recourse if obligations are unfulfilled by the supplier.
The Office of University Counsel may become involved should the supplier not meet his/her obligations.
In order to properly process payments, the requisition must reflect payments rather than the items being
purchased or services being performed. At the line-item level, input the progress payment. For example:
1. “Progress payment one - 30% down payment with the order” (enter 30% of total cost as the dollar
amount)
2. “Progress payment two – 30% upon delivery” (enter 30% of total cost)
3. “Progress payment three – 40% net 30 days after receipt of invoice, installation, testing and
acceptance” (enter remainder of cost).
Product detail, unique conditions, terms, or additional information pertaining to the order must be entered
in the Notes and Attachment tab. The supplier must submit invoices for each progress payment as
applicable.
Procurement Services Review Process
Procurement will promptly review and evaluate all requisitions routed to us and will determine the
appropriate actions required before the purchase order is issued. The procurement process may require
one or more of the following actions, depending upon the conditions of the purchase.
• Requisitioned items are reviewed based on existing contracts.
• Requisitions will be evaluated based on bid limits and fund types.
Buying Manual Number: 401
Subject: The Purchase Order Process Issued: February 9, 2009
Title: Creating a Purchase Order Revised: September 15, 2023
Section 401
69
• Documentation and price justifications for sole source/single source orders will be reviewed by a
procurement agent.
• The terms and conditions of the purchase order may need to be negotiated and finalized with the
vendor.
• Requisitions with special requirements may require review from the appropriate department (e.g.,
x-ray or sealed sources, bio-safety cabinets).
• Some purchases may need to address specific issues (e.g., insurance coverage, customs
clearance, legal review of vendor terms and conditions).
Paying for Purchase Orders
In order to fulfill the purchase order:
1. The goods must be received.
2. The vendor must submit an invoice to Cornell University, Accounts Payable, 377 Pine Tree Road,
Ithaca, NY 14850 or via email to DFA-4040_invoi[email protected]. For some high-volume
vendors, invoices are submitted to Cornell University via electronic invoicing. Invoices are used to
create payment requests in KFS.
3. Additionally, the Fiscal Officer (FO) must approve the following payment requests before the
payment is made.
a. Any invoice from an order originated in e-SHOP for under $2,500
b. Any invoice over $5,000
PO Amendments and Cancellations
Purchase Order Amendments (POAs) are the responsibility of the service centers. When a purchase
order (PO) is changed, KFS creates a POA based on the existing PO. POAs should be used only for
adding or deleting items.
• You may not change a vendor by issuing a POA. To change a vendor after a PO has been
issued, you must cancel the PO and reissue a new order.
• You may not change a billing account by issuing a POA. The Fiscal Officer (FO) can change the
account when reviewing the payment request.
• Do not process POAs on non-quantity orders.
Orders that originated in e-SHOP cannot be changed or amended. The unit must contact the supplier
directly to cancel the order.
To process an amendment (or change) to a purchase order, review the KFSPUR-400 POA Purchase
Order Amendment tutorial.
Buying Manual Number: 402
Subject: The Purchase Order Process Issued: February 9, 2009
Title: Bid Solicitations and Exemptions Revised: February 1, 2018
70
Section 402
Bid Solicitations and Exemptions
Bid Solicitation Requirements
Per University Policy 3.25, Procurement Services (Procurement) is responsible for requesting quotations
or proposals from suppliers at expenditure levels above $25,000 (formal bid limit) or when specific fund
types are used. Good purchasing practice dictates that requests for proposals and quotations to
responsible suppliers effectively develop competition and guard against favoritism, improvidence, and
fraud. The primary purpose of competitive bidding is to insure and demonstrate that funding is being
responsibly spent and equal opportunities are being extended to responsible suppliers.
When a unit has a need for a good or service that may cost more than $25,000, the unit should contact
Procurement. Procurement will assist the unit in developing specifications, identifying potential sources
(vendors), and will issue all requests for bidding. During the competitive bid process, Procurement
controls all information to ensure that all suppliers receive the same information. Supplier responses are
kept confidential. Suppliers may receive general feedback on their response relative to other suppliers.
New York state (NYS) appropriated funds are subject to public bidding.
Awards of bids are made on a best value basis. Lowest pricing award does not require any additional
explanation. Awards made for reasons other than low pricing require documentation of the reasons for
the award.
To request a bid solicitation, e-mail procure.supp[email protected] with the specifications and potential list
of vendors. Use the form available on the Bid Solicitation web page at
https://www.finance.cornell.edu/procurement/tools-forms/forms/bid-solicitation.
This procedure is in compliance with State and Federal Regulations and is subject to University Policy
4.7, Retention of University Records. Procurement is responsible for issuing and maintaining all
documentation relevant to quotations, bids, proposals and awards based on the bid thresholds below.
Bid Thresholds
Competitive bidding occurs at many different levels in terms of dollars, formality and process.
Requirements for requesting quotations, bids and proposals are determined by anticipated expenditure
levels and fund type as described below:
Less than or equal to $25,000 (for all fund types)
The responsible unit is encouraged to solicit competitive quotes, but it is not required. For orders using
New York State appropriated funds, reasonableness of the price should be documented and maintained
by the unit.
Greater than $25,000 and less than or equal to $50,000 (for all fund types)
Procurement will solicit from a minimum of three (3) responsible suppliers. Formal quotations will be
requested only from those suppliers deemed qualified.
Greater than $50,000 (for all fund types)
Procurement will solicit from a minimum of five (5) responsible suppliers. Formal quotations will be
requested only from those suppliers deemed qualified.
Buying Manual Number: 402
Subject: The Purchase Order Process Issued: February 9, 2009
Title: Creating a Purchase Orders Revised: February 1, 2018
Section 402
71
Exemptions from Bidding
For New York State appropriated funds, contact Procurement Services.
Bids will not be required when any of the following conditions apply:
State Contract:
The acquisition of goods and services from New York State Contracts is exempt from bidding for any
dollar amounts. The unit has the option to request bidding at their discretion and in consultation with
Procurement.
Preferred Supplier Agreements:
Procurement has Preferred Supplier Agreements with several vendors. These suppliers have participated
in a competitive bid and negotiation process to establish pricing, service levels, and terms and conditions
for a particular product or service category. The agreements are established based on the University’s
requirements for the particular product or service category (commodity).
Generally, orders issued to a preferred supplier preclude bidding. Contact procure.support@cornell.edu if
you are working on an order that may exceed $100,000. Request a quote from the preferred supplier and
enter the information on the requisition. No additional paperwork is required. To view the complete list of
preferred suppliers, please refer to the Procurement web site
https://www.finance.cornell.edu/procurement/supplierlistview. Additional information on each supplier is
provided by clicking on the supplier’s name.
Contract Supplier:
These suppliers have participated in a competitive bid process and Procurement Services maintains a
relationship through a formalized agreement. These suppliers may have been competitively bid by
Procurement Services, New York State, or a group purchasing organization (GPO).
Generally, orders issued to contract suppliers preclude bidding. Contact procure.sup[email protected] if
you are working on an order that may exceed $50,000. Purchase orders greater than $25,000 will be
reviewed by a procurement agent and may be bid at the discretion of the agent. A quote is required from
the supplier. Enter the information on the requisition and submit the paperwork with the requisitions to
Procurement Services.
Single Source/Sole Source Purchases:
Where competition may not be feasible due to the single source or sole source nature of a commodity or
a particular specification, a written justification is required, and reasonableness of price must be
established. Use the Single/Sole Source Justification form, which is available on the Procurement
website at https://www.finance.cornell.edu/procurement/tools-forms/forms/source-justification. This
applies to purchases over $25,000 for all funds. Additional procedures are required for New York State
appropriated funds.
Local and Diverse Suppliers:
In the interest of diversifying the university’s supplier base and supporting the university’s goals of
inclusion, Cornell may, at the discretion of the Procurement Agent, purchase directly from local or certified
diverse suppliers (as defined by the Small Business Administration) without soliciting competition. The
Agent must take steps to ensure that the prices charged are reasonable and that the selection of the
supplier assists in this mission.
Recycled Products:
In the interest of meeting the University’s goals of sustainability and environmental protection Cornell
may, at the Procurement Agent’s discretion, purchase recycled goods directly without soliciting
competition. The Procurement Agent must take steps to ensure that prices are reasonable.
Buying Manual Number: 402
Subject: The Purchase Order Process Issued: February 9, 2009
Title: Creating a Purchase Orders Revised: February 1, 2018
Section 402
72
Emergency Orders:
An emergency is defined as a critical situation which is an unanticipated and sudden occurrence which is
life threatening, catastrophic in nature, or involves pressing necessity for immediate repairs,
reconstruction, or maintenance in order to permit the safe continuation of a necessary use or function, or
to protect the property or the life, health, or safety of any person. Orders may be issued in these
emergency situations at the Procurement Agent’s discretion without soliciting competition. Procurement
Agents must take steps to ensure that prices are reasonable.
Catering Services, Hotel/Event Space Rental, Hosted Events
Selection of a service provider for catering or a venue for a hosted event are based on criteria which may
include location, number of guests/attendees, hosting dignitaries, accessibility, parking, event budget, and
so forth. These types of services typically do not lend themselves to bidding and as such are exempt from
the bidding requirement. However, these services must use the appropriate contract and purchase order
and the vendor must provide the necessary certificates of insurance as required. These services are
exempt from the bid limit unless contract, grant, or federal funds are used to pay for the service.
Human Resources Recruiting Services
The Human Resources’ Employment and Recruitment Center is responsible for approving all contracts for
professional services with employment search firms. These firms offer a specialized service to meet
specific criteria established by the college or administrative unit. These services are exempt from the bid
limit unless contract, grant, or federal funds are used to pay for the service.
Cornell Cooperative Extension (CCE) Association Services
Purchase of extension association related services, requested by Cornell Cooperative Extension (CCE)
Administration units, is exempt from the bidding requirement due to the nature of our land grant mission,
including when contract, grant, or federal funds are used to pay for the services.
Source (Vendor) Qualification
A college or administrative unit may submit the names of prospective bidders (i.e., bidders list).
Procurement will identify additional bidders, if necessary, to comply with bid requirements. Procurement
will add or delete suppliers from a bidders list based upon factors including but not limited to size (which
relates to the ability to provide and/or service the requirements), past performance, financial resources,
quality assurance, technical capability, competitive pricing, customer service and through current
research on available suppliers, including input from end users/units at Cornell. Only suppliers deemed
qualified will be invited to participate in an RFP.
Types of Bid Requirements (Solicitations)
The following defines the types of bid solicitations used by Procurement. Information and results from
RFPs, RFQs & RFIs are Cornell University confidential. Responses to any of these types of bid
solicitations may not be shared with parties outside of Cornell University, including vendors.
• Request for Proposal (RFP) – This is a formal invitation to vendors to submit a proposal to
provide a product or service. The RFP contains project specifications, application procedures,
and deadlines. The responses are evaluated based on dollar amount, quality, service, delivery,
and other criteria as described in the document. Results may not be shared with parties outside
of Cornell University, including vendors. For New York State appropriated funds, additional
procedures and paperwork are required for RFPs over $10,000. Results may be shared with
parties outside of Cornell University, including vendors.
• Request for Quotation (RFQ) – This is an invitation to vendors, which is used to get pricing and
delivery information for a list of items with a clear set of specifications. Results may not be shared
with parties outside of Cornell University, including vendors. For New York State appropriated
funds, additional procedures and paperwork are required for RFQs over $10,000. Results may
Buying Manual Number: 402
Subject: The Purchase Order Process Issued: February 9, 2009
Title: Creating a Purchase Orders Revised: February 1, 2018
Section 402
73
be shared with parties outside of Cornell University, including vendors.
• Request for Information (RFI) – This is an informal request. This is used to collect general
information about suppliers or products and services. An RFI is used to gather information to help
decide regarding the next step as needed in the process. The results of an RFI may be used to
generate formal specifications for an RFP. Results may not be shared with parties outside of
Cornell University, including vendors.
• Invitation for Bid (BID) – This is a formal invitation to vendors to submit a proposal (bid) on a
specific goods or services. The vendors submit sealed bids which are opened in a meeting that is
open to the public. The Invitation to Bid is used for expenditure of New York State appropriated
funds when the purchase amount is greater than $50,000.
Single Source and Sole Source Justifications
These guidelines apply to all purchases greater than $25,000 for all fund types, where competition may
be restricted due to a variety of reasons such as technical specifications, proprietary information, method
of distribution, or upgrades of existing equipment.
A Single Source is the one source among others in a competitive marketplace which for a justifiable
reason has predominate qualifications for selection for contract award.
A Sole Source is the one and only source regardless of the marketplace, possessing a unique and
singularly available performance capability for the purpose of contract award.
Roles and Responsibilities
It is the responsibility of the End User/Unit and the Procurement Agent to indicate the basis for awarding
the purchase to a single source/sole source and to determine that the non-competitive price was fair and
reasonable.
The End User/Unit will justify and document in writing, the reasons why competition may be restricted;
and provide information which establishes the reasonableness of the price (refer to the single/sole source
justification form). The Single/Sole Source form should be completed, dated, and signed by the End
User/Unit prior to attaching it to the requisition being submitted to Procurement Services.
Procurement Services will verify the justification and documentation and/or supplemental information
provided by the End User/Unit. All single/sole source justification forms that identify using funding from
grants, contracts, or federal funds may be routed to Sponsored Financial Services for review prior to the
release of the purchase order.
The Single/Sole Source form and directions are available on the Procurement Services web site at
https://www.finance.cornell.edu/procurement/tools-forms/forms/source-justification.
Buying Manual Number: 403
Subject: The Purchase Order Process Issued: February 9, 2009
Title: e-SHOP Revised: September 15, 2023
74
Section 403
e-SHOP
Policy
Cornell’s e-procurement system is the preferred method for initiating an order for
goods and services. For suppliers enabled in this system, units should utilize this procurement tool for all
transactions with that supplier to ensure that the unit receives Cornell’s discounted pricing.
Definition
e-SHOP is Cornell’s branded e-procurement system, which allows the user to procure goods and services
from a wide variety of selected suppliers through KFS. Low dollar purchases (generally under $2,500)
are eligible to be routed directly to the supplier with no additional approval requirements. Purchases
above $2,500 will route to your Service Center, and purchases over a pre-determined automatic purchase
order (APO) limit (see below) will route to Procurement for approval, prior to being sent to the vendor.
Types of Suppliers in e-SHOP
The following types of suppliers are available in e-SHOP:
• Preferred (APO limits range from $25,000 - $100,000) – see definition in section 102
• Contract (APO limits of $25,000) – see definition in section 102
• Pricing Agreement (APO limits of $25,000; no bidding exemption) -- For your convenience,
Procurement has pricing agreements with terms and conditions in place with suppliers who meet
one of the following criteria:
o They have discounted pricing for Cornell.
o They have a service, license, or maintenance agreement with Cornell.
o They support the local economy, i.e., located in Tompkins or adjacent county
o They meet criteria for small or diverse business classifications, as defined by the Small
Business Administration.
o They support Cornell’s sustainability initiative.
Process
When purchasing from a supplier that is available in e-SHOP, the requisition should be started in e-
SHOP. e-SHOP provides several benefits to the user and to the University:
• The e-SHOP shopping cart populates the line-item detail in the KFS requisition
• One shopping basket may be created for purchases from multiple suppliers
• Both users and approvers may store notes on the order, helping to document the history
• Transaction details are stored electronically
Not all items in a vendor’s e-SHOP punch-out site or hosted catalog are under contract, for those items
you are encouraged to shop for best price or contact Procurement to determine if the e-SHOP vendor will
match the better price.
It is possible to create an order in e-SHOP that is greater than the formal bid limit of $25,000. Such
purchases will be routed to the fiscal officer for approval and then to Procurement for final review and
approval. Bidding may be required at the discretion of the procurement agent, see Buying Manual section
402, Bid Solicitations and Exemptions.
e-SHOP Training
In preparation for using the system, it is recommended that new users participate in the webinar and/or
take the tutorials for KFS Basics and KFSPUR400e-SHOP Tutorial. For additional information on e-
Buying Manual Number: 403
Subject: The Purchase Order Process Issued: February 9, 2009
Title: e-SHOP Revised: September 15, 2023
Section 403
75
SHOP, including training materials and the monthly webinar schedule, please visit the Procurement
website at https://www.finance.cornell.edu/procurement/e-shop/training.
Granting or Removing e-SHOP Access
To obtain access to e-SHOP and KFS, the end user should complete the KFS access request form. It is
the responsibility of the SSC Financial Management and Reporting team to review, approve, and update
employee access to KFS and e-SHOP. Everyone with a valid Cornell NetID is automatically set up with a
Shopper role. The Kuali Security Request (KSR) doc is used to grant or remove access for the e-SHOP
User and e-SHOP Plus User roles. When either the e-SHOP User or e-SHOP Plus User role is removed,
the access will automatically default to the Shopper role.
e-SHOP Roles
The four e-SHOP roles are described below.
1. Shopper: This role is automatically available to any individual with a valid Cornell NetID. This
role allows all users to review supplier catalogs in e-SHOP and create shopping carts of goods or
services in e-SHOP. These carts must be assigned to an “e-SHOP User” to create a purchase
order.
2. e-SHOP User: This role has a $2,500 automatic purchase order (APO) limit and the
permission to initiate, edit and accept assignment of carts in e-SHOP and fully process them as
Purchase Orders in KFS. This role should be requested for all users who initiate e-SHOP
transactions OR any user who would be assigned a cart to complete in KFS from another e-
SHOP user. This role will be granted by the SSC using the Kuali Security Request (KSR) doc.
3. e-SHOP Plus User: This e-Shop user role has a higher $5,000 APO limit. This role also has
the permission to initiate, edit and accept assignment of carts in e-SHOP. This role should only
be requested for users who meet both of the following criteria:
a. Position – such as:
i. Administrative/Business Manager
ii. Inventory staff (ordering to replenish or create inventory for a warehouse or job)
iii. Positions that require procurement of timely or emergency goods
iv. Procurement buyers - such as those in Facilities Services
b. Card history and experience:
i. Demonstrated history of compliance with pcard policy
ii. Demonstrated and frequent need for higher limits (e.g., type of purchases or need for
quick or non-work hour procurements)
iii. Demonstrated potential need for emergency purchases
iv. Demonstrated and frequent need for the purchase of expensive equipment/materials.
This role will be granted by the SSC using the Kuali Security Request (KSR) doc.
4. Vendor: This role grants an e-SHOP vendor limited e-SHOP access and the ability to create a
custom quote by creating a vendor cart for approval by an e-SHOP user. Access is granted by
Procurement based on e-mail requests by the applicable Strategic Sourcing Agent; no KFS
access is granted or needed.
e-SHOP Access Process Tips
• e-SHOP User. Requesting e-SHOP User role access is done via the Kuali Security Request
(KSR) doc. Once the Org and Primary/Secondary Approvers are set up, the doc will route for
approval accordingly.
Buying Manual Number: 403
Subject: The Purchase Order Process Issued: February 9, 2009
Title: e-SHOP Revised: September 15, 2023
Section 403
76
• e-SHOP Plus User. Once the individual meets the e-SHOP Plus User role criteria stated above,
initiate the Kuali Security Request (KSR) doc to request access. Once the Org and
Primary/Secondary Approvers are set up, the doc will route for approval accordingly.
o Requirement: Ad hoc route “Approve” the KSR doc to the individual’s Department/Unit Chair
and the SSC P2P Director for approval.
• Once all approvals have been obtained, the access will be granted immediately.
• To modify a role from e-SHOP Plus User to e-SHOP User, you must process a request to remove
the e-SHOP Plus User role and process a separate request to create the e-SHOP User role.
Buying Manual Number: 404
Subject: The Purchase Order Process Issued: February 9, 2009
Title: Terms and Conditions Revised: May 10, 2016
77
Section 404
Terms and Conditions
Definition. The Terms and Conditions of the Purchase Order give Cornell University legal protection in all
procurement actions and comply with laws governing its operation. The Terms and Conditions are
published on the Procurement website at https://www.finance.cornell.edu/procurement/suppliers/doing-
business/terms.
Responsibilities
Procurement Services:
• Procurement Services (Procurement) is responsible for the issuance of and changes to the
Terms and Conditions in consultation with the Office of University Counsel, Risk Management
and Insurance, and the Office of Sponsored Programs.
• Any time a Supplier presents his/her Terms and Conditions as part of a transaction, a
procurement agent (who has transaction authority for the University as defined in University
Policy 4.2, Transaction Authority and Payment Approval) is required to review the supplier’s
terms for any conflicts that may exist between the supplier’s Terms and Conditions and Cornell’s
Terms and Conditions.
• To amend a supplier’s terms and conditions, the procurement agent responsible for issuance of
the order may do so either electronically, by requesting the document from the supplier, or by
striking the clauses in pen. The agent should be mindful to print legibly any additional terms and
initial the change.
End User/SSC:
• If a supplier presents his/her terms and conditions, the unit should forward the requisition,
contract, terms and conditions, and any other accompanying paperwork to Procurement for
review. Legal counsel will be asked for assistance as required.
Buying Manual Number: 405
Subject: The Purchase Order Process Issued: February 9, 2009
Title: Insurance Requirements Revised: May 14, 2021
Section 405
78
Insurance Requirements
Cornell University requires that vendors who perform a service for the University meet minimum levels of
insurance coverage. Vendors must submit evidence of adequate insurance coverage as requested prior
to performance of work or services for the University. If you are unsure as to whether the intended
service provider must provide proof of insurance, the Cornell unit should contact the Department of Risk
Management and Insurance. If the vendor does not have the required insurance, submit a Cornell
Insurance Waiver Modification Request Form to Risk Management and Insurance per the instructions on
their website.
A service is defined as an activity in which labor is the major factor and not merely incidental to the
production, acquisition, and/or delivery of a good. Examples of services include hay delivery, catering,
equipment repair, and web site design.
General Guidelines
• When a service is to be provided by a vendor, insurance is always required to mitigate any risk or
harm to individuals or the university (e.g., financial impact, legal and regulatory concerns).
• When working with web developers and software companies, (e.g., programming, hosting, or
data storage services or access to Cornell systems), cyber insurance is required.
• When hiring academic consultants from other universities or funding project with grants and
contracts managed through the Office of Sponsored Programs, insurance is required.
• When Cornell is reselling a good or service, insurance from the vendor is required.
High Risk Activities
Certificates of insurance must be on file prior to work commencing for activities identified as high risk.
High risk activities are identified as charter events (i.e. watercraft, aircraft, bus, van), drones, catering
service, alcohol service, equipment installation, IT related consulting service, software or website
implementation, services that require human contact (i.e. massage or henna service), contact with
minors, or entertainment-related equipment (i.e. bounce houses, concert equipment). In addition, the
procurement agent has the discretion to require a certificate of insurance beyond these instances.
Proof of Insurance
Caterers who have already provided proof of adequate insurance are listed on the Risk Management and
Insurance web site at http://www.risk.cornell.edu.
Additionally, if you have access to KFS, you may view a vendor’s insurance coverage and expiration
dates in the vendor record. From the KFS Main Menu, select Vendor from the Lookup and Maintenance
section. From the vendor record, view the Vendor Insurance Tracking tab.
If a unit wishes to engage a vendor to perform work or services identified as high risk or to confirm
insurance requirements, contact Procurement. Procurement will contact the vendor to obtain the
appropriate insurance certificates.
Caution: Vendors are not to commence work or services for the university prior to the submission of
proof of adequate insurance, if requested.
Questions Regarding Insurance Requirements
All requests for exceptions to the standard insurance requirements should be submitted by the end user
and must be approved by the Department of Risk Management and Insurance. To request a waiver or
modification to Cornell’ insurance requirements, submit a Cornell Insurance Waiver Modification Request
Form to Risk Management and Insurance. The Cornell unit should contact Risk Management at
risk_mgmt@cornell.edu for assistance with the form.
Buying Manual Number: 405
Subject: The Purchase Order Process Issued: February 9, 2009
Title: Insurance Requirements Revised: May 14, 2021
Section 405
79
Standard Insurance Requirements
Vendor will carry insurance to financially support indemnification of Cornell as provided herein, and shall
provide certificates of such insurance, upon request. Annual automatic renewals of the certificate of insurance
must be requested from the Vendor’s Insurance carrier and sent to Cornell upon the annual expiration date of
the insurance policies.
These minimum requirements of the University shall not limit the liability or responsibility of the Vendor.
Cornell’s failure to enforce the requirements shall not be considered to be a waiver of any requirement. Any
changes to these requirements shall only be made in writing and agreed upon by all parties.
For vendors, consultants, and contractors, Risk Management’s standard insurance requirements are
published on its website at https://www.risk.cornell.edu/risk-guidance/vendors-insurance/.
The Office of Risk Management and Insurance provides guidance on the use of drones for University-
related business and recreational purposes. For information and help with FAA regulations for
recreational, educational, and commercial use as well as local ordinances and safety guidelines, please
review the specific requirements on Risk Management and Insurance’s website at
http://www.risk.cornell.edu/forms-documents/risk-guidance/drones-guidelines/.
Other Requirements for all insurance coverage:
• Additional Insured: Cornell University, its trustees, officers, directors, agents, representatives and
employees are to be added as Additional Insured as required by contract and evidence of such will be
provided on a certificate of insurance. Each policy shall contain provisions giving Cornell at least 30
days written (10 days in the case of non-payment) notice of cancellation, non-renewal or other
change in coverage. The coverages shall also be primary and non-contributory.
• Proof of Insurance: Certificates of Insurance evidencing all required coverage must be receive by
the Procurement Services, 377 Pine Tree Road, Cornell University, Ithaca, New York 14850,
insurance.procur@cornell.edu, prior to any work being performed.
Exceptions to the Standard Buying Guidelines
Risk Management and Insurance does not require the collection of certificates of insurance from major
hotel chains for their providing of guest rooms. The provision of catering and meeting space does require
proof of insurance unless an exception is granted by Risk Management and Insurance.
Caution: Prior to procuring any services, always review the Purchases with Special Procedures:
Paying for Services section of this manual.
Buying Manual Number: 407
Subject: The Purchase Order Process Issued: February 9, 2009
Title: End User/Unit/SSC Relations Revised: May 10, 2016
80
Section 407
Roles and Responsibilities
End User, Unit, SSC:
Inform the Procurement Agent when:
• An item specification is being developed for planned procurement action
• It is required that specific vendors be added to a bidders’ list
• Procurement action involving a potential sole or single source of supply is planned
• Sources of supply need to be identified for a specific item or commodity
• Supplier services or products are not in compliance with specification or expectation
Procurement Services Agent:
• Maintain a current list of commodity assignments on the Procurement Web site
• Identify alternative sources of supply through regular commodity reviews
• Manage the bid process for selection of the best source of supply
• Conduct negotiations with suppliers
• Provide acceptable terms and conditions for procurement actions
• Resolve legal and risk management issues that arise in the source of contract and purchase
order negotiations with the aid of University Counsel's Office and Office of Risk Management and
Insurance
• Review all aspects of a purchase requisition, including accuracy of specifications, so that the best
interests of the University are served
• Assist units with the development of specifications for required products and services
Buying Manual Number: 408
Subject: The Purchase Order Process Issued: December 9, 2013
Title: Sustainable Purchasing Revised: September 10, 2014
81
Section 408
Sustainable Purchasing
Introduction
Cornell formalized the commitment to campus sustainability in the 2010-2015 Cornell University Strategic
Plan. As part of this plan, the practices used in purchasing goods ought to follow the new sustainable
guideline set forth by Procurement Services (Procurement). Each purchase has an impact on the goals
Cornell has set to achieve in the Climate Action Plan.
Making a Purchase
The preferred method for purchases, including those considered sustainable, is through e-SHOP. The
goods in e-SHOP contain product flags to make it easier for you to identify green certified, recycled, and
Energy Star products.
Green certified includes products which are labeled under green or sustainable certification processes,
excluding Energy Star or recycled goods. These products meet a standard including, but not limited to:
Green Seal, EPEAT, Forest Stewardship Council (FSC), and Sustainable Forestry Initiative (SFI).
Recycled content products are made from pre-consumer or post-consumer material diverted from the
waste stream.
Energy Star products are labeled and certified by government-backed program. Energy Star helps
businesses and consumers protect the environment through energy efficiency. Look for the energy star
label.
Energy Efficient Purchasing
To meet the desired results of the Climate Action Plan and our commitment to sustainability, Cornell
University has implemented a plan for purchasing energy efficient products. The university has pledged to
make a dedicated effort to purchase products that are Energy Star certified or meet the performance
requirements for Energy Star certification. This practice includes but is not limited to the purchase of
computers, appliances, electronic equipment, and food service equipment.
It is the responsibility of each purchaser to select products with this label. Search for products in e-SHOP
with the Energy Star flag to find the good you need which meets the certification standard.
Visit the Energy Star web site at energystar.gov/index.cfm to see for yourself the savings in energy cost
by using these certified appliances and models. For more information on sustainable purchasing and
recommended products, visit the Procurement Services web site at
https://www.finance.cornell.edu/procurement/about/initiatives/sustainability/purchasing.
Life Cycle Cost Analysis
Life Cycle Cost Analysis focuses on evaluating the economic performance of a building including the
building process, operation, and maintenance over its useful lifetime. Tradeoffs are made between the
initial costs and long-term savings made through choices such as energy efficient purchasing.
Buying Manual Number: 408
Subject: The Purchase Order Process Issued: February 9, 2009
Title: Sustainable Purchasing Revised: March 1, 2012
Section 408
82
Although this analysis is related to sustainability it is not identical. For life cycle cost analysis, the focus is
on cost-efficient building design and production. Solutions determined through this analysis may be
environmentally beneficial. Particular designs which save energy or water will often result in a long-term
cost savings.
Life-cycle costing is also applied to the purchasing of appliances and equipment on a smaller scale.
When making purchasing decisions, you are encouraged to buy products which exceed the minimum
efficiency standards set by the Department of Energy. ENERGY STAR has created comprehensive
techniques to identify energy-efficient products that offer savings on energy bills without sacrificing
performance.
Due to the continuous updates to the standards, we ask that you refer to the links below to find the
current standards. Appliance and equipment purchases made at Cornell should meet the listed Energy
Star standard at a minimum.
Department of Energy Standards:
• http://energy.gov/eere/buildings/standards-and-test-procedures
Energy Star Standards:
• http://www.energystar.gov/certified-products/certified-products?c=products.pr_find_es_products
o Select the product type
o Select the specifications tab
o Utilize the product criteria link for the Energy Star Standards
Buying Manual Number: 409
Subject: Procurement Programs Issued: February 9, 2009
Title: Contracts Revised: July 1, 2024
83
Section 409
Contracts (formerly Section 502)
Definition. A contract is a legally binding agreement between two or more persons or parties describing
terms and conditions. The term “contract” is defined in this context as various agreements related to the
procurement of equipment, supplies or services. These contracts should not be confused with the
construction contracts that are administered by the Unit of Contracts Management. Examples of vendor’s
contracts for procurement of goods and services that should be reviewed by a procurement agent include
maintenance agreements, service agreements, licensing agreements, equipment leases, , and
quotations/order forms with terms and conditions or links to terms and conditions.
If the contract poses a substantial risk, the Procurement Agent may request additional review by the
Office of University Counsel and/or the Department of Risk Management and Insurance. Review of
documents can take anywhere from two weeks to several months depending on the complexity and the
amount of negotiation required. Units are strongly encouraged to involve Procurement Services
(Procurement) as early as possible, certainly in advance of submitting a final requisition with a contract.
Roles and Responsibilities for Contract Review, Approval, and Signature
End-User:
1. Do not sign any vendor’s contract. Only an authorized Procurement Agent may sign a contract
per University Policy 4.2, Transaction Authority and Payment Approval.
a. You may sign the following to confirm that the order is accurate:
i. Hotel room reservation confirmation
ii. Quote or estimate with no terms and conditions
iii. Guest speaker contract may be signed by unit’s Dean or VP
2. Review the vendor’s contract and initial to indicate that you have reviewed for accuracy, e.g.,
description of goods or services, pricing, timeframe, deliverables, etc.
3. When using a Cornell contract template, initial, sign and date as required on the template
4. The end user may complete and sign the IC Amendment and PSA Amendment if the contractual
terms and conditions have not been modified, e.g., timeline, amount, scope of work. If the scope
of work has been modified for an IT Professional Services Agreement, the Statement of Need
must be updated and resubmitted to IT Security for review.
5. All requests for exceptions to the standard insurance requirements must be approved by the
Department of Risk Management and Insurance. To request a waiver or modification to Cornell’s
insurance requirements, submit a Cornell Insurance Waiver Modification Request Form to Risk
Management and Insurance. The Cornell unit should contact Risk Management and Insurance at
risk_mgmt@cornell.edu for assistance with the form.
6. Send the contract, Waiver-Modification Request form, and Risk Management’s response to the
service center with the request for a requisition. By submitting the contract, or authorizing
another staff member to do so, you attest that you take full responsibility for
understanding the business terms and conditions of the contract, i.e., timing, payments,
cancellation fees, etc. Any liabilities that result due to the failure to meet the business
contractual terms will be the responsibility of the end user’s department or college.
Shared Services Center:
1.
Review and attach the contract, Waiver-Modification request form, Risk Management’s
response, and other necessary documents to the requisition
2. Procurement Services hereby delegates signature authority for work for hire addendums for
writers, editors, indexers, and videographers for purchase order transactions below $25,000 to
Buying Manual Number: 409
Subject: Procurement Programs Issued: February 9, 2009
Title: Contracts Revised: July 1, 2024
Section 409
84
the shared services center procure-to-pay director and managers and the Student and Campus
Life director of SCL procurement and sourcing (purchasing agent IV). This signature authority
delegation may not be further delegated.
3. A copy of the signed work for hire addendum will be attached to the KFS requisition and sent
(select “Yes” to send) to vendor with the purchase order. If the specific contract amount is
$25,000 or more, it must be routed to Procurement for review and all bid requirements apply.
4. All vendor contracts and Cornell templated agreements (Professional Services Agreement, IT
Professional Services Agreement) must be routed to Procurement Services for review and
approval by a procurement agent regardless of dollar amount.
5. If you have received approval for contract revisions from Risk Management or Counsel’s Office,
attach the approvals to the KFS requisition.
Procurement Services:
1. The Procurement Agent is responsible for reviewing the business and legal aspects of the
contract
and for negotiating terms and modifications.
2. Request additional review by the Office of University Counsel, as needed.
3.
Sign the agreement on behalf of the University.
4.
Send the contract to the vendor with the purchase order.
Requirements for Initialing and Signing Contracts
Contracts for
Services
Unit Initials –
each page
Unit Initials
– last page
Unit
Signature
Vendor
Signature
SSC
Signature
Procurement
Signature
Vendor Templates
Yes
Yes
Yes
Cornell Templates:
Professional
Services
Schedules
Yes
Yes
Yes
IT Professional
Services
Schedules
Yes
Yes
Yes
Professional
Services
Amendment
Yes
Yes*
Executive Search
Firm
Yes
Yes
Cornell
Addendums:
Work for Hire
Addendum for
Writing, Editing,
Indexing,
Videography
Yes
Under
$25,000
$25,000 or
over
Right to Use
Addendum for
Photographer, Artist,
Illustrator
Yes
Note: * If the contractual terms and conditions have not been modified, a procurement agent’s review
and signature is not required on the amendment. If the scope of work has been modified for an IT
Professional Services Agreement, the Statement of Need must be updated and resubmitted to IT Security
for review.
Buying Manual Number: 601
Subject: Purchases with Special Procedures Issued: February 9, 2009
Title: Ethyl Alcohol Revised: September 15, 2023
85
Section 601
Ethyl Alcohol
Ordering and Control
Cornell must comply with federal laws set by the U.S. Department of Treasury when purchasing Ethyl
Alcohol. Special procedures are in effect to govern the ordering, use, control and reporting of tax-free
alcohol required for University use.
End user/unit/SSC:
All locations where Ethyl Alcohol will be used or stored must appear on Cornell’s license to buy tax-free
alcohol. To have a new location added or to delete a location no longer applicable to the license, please
contact Procurement Services (Procurement).
Procurement will maintain the license for ethyl alcohol, including annual renewal.
For questions about purchasing ethyl alcohol, please reach out to askEHS.
Buying Manual Number: 602
Subject: Purchases with Special Procedures Issued: February 9, 2009
Title: Entry Permits USDA Revised: March 1, 2012
86
Section 602
Entry Permits USDA
Cornell must comply with the federal laws that govern plant material, seeds and animals purchased
from outside the limits of the United States.
The requisitioning department will be responsible for
obtaining the necessary U.S. Department of Agriculture Entry Permits. The Address to obtain the
proper permit is:
USDA
APHIS-PPQ
Federal Building
Hyattsville, MD 20782
Buying Manual Number: 603
Subject: Purchases with Special Procedures Issued: February 9, 2009
Title: Isotopes and Radioactive Materials Revised: September 15, 2023
87
Section 603
Materials and Equipment Requiring Radiation Safety Approval
Prior to purchase, radioactive materials, and items which either use radiation sources or produce
radiation must be approved by Environment, Health and Safety (EHS). The KFS requisitions for
radioactive materials are automatically routed to EHS for approval based on the UNSPSC (commodity
code) classification:
• 12142200 Isotopes
• 12142203 Alpha sources
• 12142204 Beta sources
• 12142205 Cobalt sources
• 12142206 Gamma sources
• 12142207 Radioisotope sources
• 41103301 Liquid scintillation counters
• 41106006 Radio nucleotides or nucleosides
End user/unit/SSC:
1.
Radioactive Material
a.
Radioactive Material may be purchased with a purchase order through KFS or through e-
SHOP. Use of a procurement card is not permitted. If e-SHOP is not used, the End User
must use one of the commodity codes listed above to ensure routing to EHS for review.
b.
For radioactive materials, the ship-to address of the requisition must list EHS as the
destination. Enter the permit holder on the attention line in the ship-to address.
c.
Only authorized personnel within a unit may call Procurement Services for an emergency
order number or confirming order for radioactive material.
2.
Sealed sources, Instruments containing sealed sources, and Radiation producing
equipment
a.
When the unit needs to requisition any items within these groupings, early development
of specifications should be coordinated and approved through the responsible
representative of EHS (Radiation Safety).
b.
Contact them at askEHS or 255-7397 or 254-8300.
Procurement Services:
1. For the following list of categories, the Procurement Agent will ad hoc route the requisition to the
EHS radiation specialist for approval:
• Radioisotopes or radioactive materials
• Nuclear Density Gauges
• Gas Chromatographs (GC)
• Electron Capture Detectors (ECD)
• Liquid Scintillation Counters (LSC or LS)
• X-Ray Producing Equipment (e.g., Generators, Diffractometers, Computed Tomography, CT)
• Electron Microscopes (e.g., Scanning, SEM, Transmission, TEM)
• Static Eliminators
• Neutron Moisture Probe
• Ion Implanter
• Lasers
Buying Manual Number: 604
Subject: Purchases with Special Procedures Issued: February 9, 2009
Title: Laminar Flow and Fume Hoods Revised: September 15, 2023
88
Section 604
Laminar Flow and Fume Hoods
To ensure that the hood is adequately designed to handle the research for which it is being used,
Environment, Health and Safety must approve all chemical fume hood, biosafety cabinets and laminar
flow clean bench purchases. In addition, all vented hoods must be approved by Facilities Engineering.
End user/unit/SSC:
The requisition is processed normally. A notation that this is a laminar flow and/or fume hood is entered
on the requisition. Individuals should contact EHS at
askEHS for their advice before submitting the
requisition or pre-approval.
Buying Manual Number: 605
Subject: Purchases with Special Procedures Issued: February 9, 2009
Title: Narcotics Revised: September 15, 2023
89
Section 605
Narcotics
The procurement of Narcotics requires a license with the New York State Department of Health
(NYSDOH) and a registration from the Drug Enforcement Administration (DEA).
End user/unit/SSC:
It is the end user’s responsibility to obtain a license and registration appropriate for the anticipated use of
controlled substances. Usage of another licensee/registrant number for procurement is not allowed. Each
requisition for controlled substances (Narcotics) must be accompanied by a properly prepared DEA form
(dependent on the drug schedule) signed by the registration holder. If the vendor does not currently have a
current copy of the registration and license, then a copy must accompany the requisition. The vendor will
not ship the items without a copy of the license and registration on file. Contact Environment, Health and
Safety (EHS) before purchasing to assist in procurement of Narcotics. For more information, visit
www.health.ny.gov/professionals/narcotic/licensing_and_certification and
www.deadiversion.usdoj.gov/drugreg/index.html.
Cornell University, EHS, and Procurement Services do not hold a university license or registration.
Buying Manual Number: 606
Subject: Purchases with Special Procedures Issued: February 9, 2009
Title: Orders for Lab Animals and Custom Antibodies Revised: February 02, 2022
90
Section 606
Orders for Lab Animals and Custom Antibodies
Use of live animals for research, teaching or demonstration at Cornell, is regulated under the Animal
Welfare Act and by Public Health Service agencies such as the NIH. All animals must be received,
housed and cared for in compliance with federal and state regulations as well as Association for the
Assessment and Accreditation of Laboratory Animal Care International (AAALAC) guidelines. It is the
responsibility of each Animal Facility Manager to adhere to these regulations. All such activities must be
approved by Cornell’s Institutional Animal Care and Use Committee (IACUC). Approval is indicated by an
approved IACUC protocol number in Cayuse (the protocol management system). The acquisition of
custom antibodies (see definition below) is considered the use of live animals, because animals are being
used specifically for the purpose of a Cornell activity. Commercially available antibodies do not need
IACUC approval because animals were not used specifically for the use by Cornell.
Each department/college/unit has specific individuals who purchase animals. If a department/college/unit
needs to order animals, the purchaser must coordinate the order through the animal facility manager
responsible for the animal facilities where the animals are to be housed. Purchase orders will be routed
based on UNSPSC classification to the appropriate approving authority.
Definitions
Custom Antibodies are antibodies that are produced using antigens provided by or at the request of the
investigator (i.e., not acquired off-the-shelf). The use of custom antibodies at Cornell University requires
IACUC approval as outlined in IACUC Policy #360: Obtaining Custom Antibodies from Live Animals.
Commercially Available Antibodies are antibodies that have already been produced and are available
from external sources.
Procedures for authorizing the purchase of custom antibodies from an external
source
1. Department procurement cards (pcards) cannot be used for the purchase of custom antibodies.
Commercially available antibodies may be purchased with pcards.
2. Purchase Orders (PO) should be used for the purchase of custom antibodies. The Researcher
should enter commodity code 98100000, for custom antibodies, in the Requisition. For
commercially available antibodies, use commodity code 98xx0000.
3. Purchases with commodity code 98100000 will route to select SSC Procure-to-Pay staff for
review.
4. The Requisition should include the following information:
a. Name and contact information for the source of antibodies
b. Approved IACUC protocol number in the Description section. Requisitions without
approved protocol numbers will not be approved until IACUC approval has been granted.
SSC Procure-to-Pay staff will send a note to the researchers attempting to purchase
custom antibodies without an approved IACUC protocol and will copy the IACUC staff on
the correspondence.
5. SSC Procure-to-Pay staff will contact IACUC staff by email – Chris Bellezza (cab37) or Rob Felt
(rjf243) for review of Requisitions.
a. IACUC staff will review the Requisition and will check the protocol to verify that the
source is listed in the IACUC protocol and that all required documentation is present.
b. IACUC staff will respond with either verification that the purchase can proceed or with
instructions to wait until IACUC approval has been granted.
Buying Manual Number: 606
Subject: Purchases with Special Procedures Issued: February 9, 2009
Title: Orders for Lab Animals and Custom Antibodies Revised: February 02, 2022
Section 606
91
c. IACUC staff will aid the Researcher in obtaining IACUC approval and appropriate
documentation and will provide the approved IACUC protocol number to SSC P2P staff.
d. Once IACUC staff contact SSC P2P staff with instructions to approve the Requisition,
SSC P2P staff will add the new IACUC protocol number to the Requisition (if required)
and will route the Requisition to the appropriate account reviewers based on the account
number provided in the Requisition.
Buying Manual Number: 607
Subject: Purchases with Special Procedures Issued: February 9, 2009
Title: Respiratory and Hearing Protection Revised: September 15, 2023
92
Section 607
Respiratory and Hearing Protection
Cornell’s Office of Environment, Health and Safety maintains programs for respiratory and hearing
protection. Before a worker may use this protective equipment, the environment they work in may need to
be evaluated for particular hazards. In all cases, respiratory and other protective equipment needs to be
properly selected and individually fitted for each worker. The Office of Environment, Health and Safety
sells this equipment directly to University departments.
Prior to placing an order for the purchase of any respiratory or hearing protection devices, contact
Environment, Health and Safety for evaluation and approval of the purchase. For further information,
please contact Procurement Services (255-3804) or Environment, Health and Safety at askEHS (255-
5623).
Buying Manual Number: 608
Subject: Purchases with Special Procedures Issued: February 9, 2009
Title: Poison Inhalation Hazards Revised: September 15, 2023
93
Section 608
Poison Inhalation Hazards
Poison inhalation hazards are normally gases or liquids which form gases at room temperatures and have
an NFPA or CERCLA rating of 3 or 4. To ensure that these gases are received, stored and used in a safe
manner with the proper engineering controls and conforming to inventory reduction regulation, prior
approval from Cornell’s Office of Environment, Health and Safety (EHS) is recommended. For additional
information please refer to the EHS web site.
End user/unit/SSC:
It is the unit’s responsibility to contact EHS at askEHS prior to ordering, receiving, or storing gases. The
requisition is processed normally.
Buying Manual Number: 609
Subject: Purchases with Special Procedures Issued: February 9, 2009
Title: Energy Procurement Revised: May 4, 2015
94
Section 609
Energy Procurement
Statement: Cornell University’s administration is authorized to procure energy, energy related financial
instruments (both physical and financial) and power purchase agreements with the intent of reducing
volatility and controlling costs. This requires the procurement of certain energy hedges, some of which will
extend across multiple fiscal years. The Utilities and Energy Management sections (of Facilities Services’
Energy and Sustainability Department) cost of energy procurement will be applied to all central Utilities
and Energy Management customers through the appropriate utility rate.
Purpose: Allow forward purchases in energy (physical or financial) and power purchase agreements to
control and stabilize energy costs.
Goals of this policy include:
• Limit transaction risk and size
• Give guidance on diversification of the energy portfolio
• Define the approval processes
Entities Affected by This Policy
• All Ithaca campus units that receive energy services via Cornell Utilities and Energy Management
• Division of Financial Services
• Office of Budget and Planning
• Office of the Treasurer
Authorization: The aggregate of energy-related contracted cash flows shall not exceed $36 Million in
any fiscal year. The aggregate present value of the energy portfolio shall not exceed five (5) times the
projected annual value of the energy spend of approximately $180 Million.
Authorized Instruments
The following instruments are authorized and may be used independently or in combination:
1. Purchasing contracts for physical delivery or financial settlement over multiple year windows.
2. Establishing energy reserves in the Utility budget to cover variability in annual energy expense.
These reserves will be funded by utility rates.
3. Purchasing of futures (either over the counter or exchange backed) from an energy broker.
Such instruments may be taken to physical delivery, if necessary, with a pre-specified delivery
point.
4. Purchasing derivatives (swaps, collars, and options) in the over-the-counter markets.
5. Purchasing weather derivatives, based on an over-the-counter swap contract using degree
days or other weather-based statistics.
6. Entering into long term (not to exceed 50 years) power purchase agreements (or equivalent
financial instruments) for energy.
Use of Consultants
When buying in the forward energy markets, an independent third-party consultant may be retained to
give advice on pricing, counterparty credit, portfolio management, and to develop portfolio performance
reports. A portfolio manager may be retained to establish recommendations to meet the policy
guidelines, manage the layering, prepare any solicitations, and execute the rollover of the instruments.
Buying Manual Number: 609
Subject: Purchases with Special Procedures Issued: February 9, 2009
Title: Energy Procurement Revised: May 4, 2015
Section 609
95
Oversight Requests for approval shall be presented with an analysis of the following:
• An explanation of the proposed purchase
• The aggregate present value of contracted cash flows and pro forma projections
• Project risks and benefits
• Demonstrate compliance with buying manual or request for exception
Requests for approval (and exception) will be made by the Vice President of Facilities
Services to the Vice President for Finance and CFO.
Advisory The Energy Risk Oversight Committee (EROC), with representatives from Utilities and
Energy Management, Procurement Services, Treasury, Budget, the Investment Office
and major customers. The committee chair shall be the Associate Vice President of
Energy and Sustainability, or another designate from Energy and Sustainability. This
committee will perform the following:
• Evaluate the performance of the energy portfolio on an annual basis and report to
the CFO.
• Meet with representatives of Utilities and Energy Management to discuss strategy and
manage the implementation process.
• Recommend all hedge requests and annual budgets for fuel and electric rates.
Strategy The strategy to guide the Energy Risk Oversight Committee (EROC) includes:
• Fuel instruments shall not have terms longer than 5 years.
• Renewable energy power purchase agreements shall not have terms longer than 50
years.
• Energy portfolios shall be layered over time in order to diversify the portfolio and minimize
the financial impact on annual budget cycles.
• The goal of natural gas hedging is to provide relative price certainty for budget purposes.
Other rules related to Portfolio Management
• The University may hedge energy using futures purchased in its name or purchased on account
by a third party.
• Instruments for physical delivery will be competitively procured when possible.
• No more than 15% of the value of any instrument shall be paid in advance of delivery or the
equivalent closings.
• To the extent possible, positions shall be capable of being unwound if conditions change. This
specifically allows the reselling of instruments and the resale of an energy commodity or its
transportation basis on the secondary market.
• Derivative based instruments (swaps, collars, options) will be written, to the maximum extent
possible, in accordance with the International Swaps and Derivatives Association’s (ISDA) or
the Edison Electric Institute’s master documents.
• All transactions will be accounted for and audited in accordance with existing and appropriate
accounting procedures.
Deviations to this policy within the limits of transaction authority may be approved by the Vice President for
Finance and CFO.
Requirements for Counterparties
Counterparties for energy instruments where payment is made at or after physical delivery will have a
Buying Manual Number: 609
Subject: Purchases with Special Procedures Issued: February 9, 2009
Title: Energy Procurement Revised: May 4, 2015
Section 609
96
minimum credit rating determined by the Senior Director of Procurement Services.
For instruments where the commodity is not to be taken to physical delivery, or significant payment (>5%)
is to be made prior to physical delivery, the counterparty must have a credit rating of "A3" as defined by
Moody's Investor Service or "A-" as defined by Standard & Poor's. For counterparties with a split rating,
each rating must be at least at the minimum of A3 or A-. Exceptions to these requirements are permitted
with approval from the Vice President for Finance and CFO.
Transaction Authority
The Executive Vice President for Finance and CFO has transaction authority for the purchase of energy
or energy instruments as defined in this policy.
Buying Manual Number: 610
Subject: Purchases with Special Procedures Issued: February 9, 2009
Title: Requisitioning of Signs Revised: March 1, 2012
97
Section 610
Requisitioning of Signs
All signs located on Cornell property must be in compliance with Cornell's Sign Program policies and
specifications and must conform to existing zoning and sign ordinances. Development of specifications
for signage must be coordinated through the responsible representative as listed below:
Sign Type
Responsible Representative
Exterior Building Mounted Cast
Aluminum Letters
Customer Service
Humphreys Service Building
Interior Signage and Graphics
Customer Service
Humphreys Service Building
Traffic Control Signs
Transportation & Mail Services
116 Maple Avenue
Temporary Signs: Construction
Projects
Transportation & Mail Services
116 Maple Avenue
Temporary Signs:
Special Events, Conferences,
Orientations, etc.
Transportation & Mail Services
116 Maple Avenue
All Other Exterior Signs
Transportation & Mail Services
116 Maple Avenue
The department must contact the appropriate Sign Program representative (as listed above) to coordinate
the development of the sign specifications for compliance with policy. When the specifications are
finalized, the department may request that Procurement Services (Procurement) obtain pricing and
delivery information. Procurement will then process the Request for Quote or the requisition.
Buying Manual Number: 611
Subject: Purchases with Special Procedures Issued: February 9, 2009
Title: Recycling and Disposal of Equipment Revised: March 1, 2012
98
Section 611
Recycling and Disposal of Equipment
To provide for the proper methods of disposal for refuse and materials destined for waste disposal, the
University has implemented a recycling program to comply with all applicable regulations.
Solid Waste Management is a program of the Grounds Department. The primary goal of the program is to
provide environmentally sound solid waste disposal alternatives to the Cornell campus. The program
promotes reduction and reuse of materials in addition to offering a comprehensive, convenient recycling
program that even includes free removal and recycling of old computers.
For a list of equipment accepted for disposal, please consult the Grounds Department’ Recycling web site
at http://www.fm.cornell.edu/fm/recycle/fmn_recycle.cfm.
For more information, contact the University Solid Waste Manager at [email protected].
Buying Manual Number: 612
Subject: Purchases with Special Procedures Issued: February 9, 2009
Title: Use of Cornell Name, Logo & Insignia Revised: July 1, 2024
99
Section 612
Use of Cornell Logo, Name & Insignia
The purpose of this policy is to advise schools, units and organizations of procedures for processing
orders that involve the use of Cornell’s name, logos, trademarks, insignia, or nicknames on items such as
T-shirts, mugs, hats, memorabilia, and other clothing and products.
“Most major colleges and universities, including Cornell, have a licensing program that regulates
the use of school names, trademarks, insignias, Logos, etc. on merchandise produced for use by
college and university units and student groups, or the sale on and off campus. Cornell
participates in national and international licensing programs administered by Exemplar Associates.
These programs prevent bootlegging, protect laborers in production of goods worldwide, and ensure
that Cornell names and artwork are used consistently on only those products approved by the
University.”
The User/Unit/SSC is responsible for getting approval from Cornell’s Office of Brand Communications,
which is the responsible entity for approving and screening requests for logo approval. You may also visit
the website, http://brand.cornell.edu/ for guidelines on using the Cornell logo or insignia, or to submit an
approval request in the online tool.
Any club, organization, or university department that wishes to use the Cornell name or artwork on
novelty items such as mugs, pens, shirts, etc. must follow the process for approval by the Campus
Activities Office. The Cornell Name and Artwork website (https://scl.cornell.edu/get-involved/campus-
events/merchandise-approval) which explains the procedure and directs you to submit the appropriate
approval request form. Request for approval can be submitted directly at https://brand.cornell.edu/brand-
forms/forms/.
A list of licensed manufacturers is available from the Campus Activities Office, 521 Willard Straight Hall,
the Office of University Communications, 308 Day Hall or can also be found online at
https://brand.cornell.edu/downloads/merchandising/licensed-manufacturers.pdf
• Please attach the approval form to the I Want document or requisition. A
separate request form must be submitted for each manufacturer selected. Because
our signature and artwork are required, this request must be submitted in writing.
• Once approved, a copy of the approval and artwork must be presented to the
manufacturer before the items can be ordered.
• Please note that an approved design will not require subsequent review and
approval provided a licensed manufacturer is used and there is no change in the
design.
• Generally, approvals will not place limits on the quantity of goods to be produced.
If you have any questions or need assistance, contact:
General logo questions: [email protected] or 607-255-1167
Web guidelines and graphics: [email protected] or 607-255-3854
Audio visual guidelines: tv33@cornell.edu or 607-255-7117
Merchandise guidelines: ffp1@cornell.edu or 607-255-1573
Buying Manual Number: 613
Subject: Purchases with Special Procedures Issued: February 9, 2009
Title: New York State Appropriated Orders Revised: March 1, 2012
100
Section 613
New York State Appropriated Orders
Funds Procedures
Orders that are funded by New York State (NYS) appropriated funds must comply with both Cornell
University policy and New York State policy. Please review the individual grant requirements prior to
procuring goods and/or services.
New York State Contracts
The New York State Office of General Services Procurement Services Group (OGS) establishes
contracts for commodities, services, and technology. These contracts are available for use by eligible
entities across New York State. These contracts are established through a competitive bidding system
and awarded on the basis of lowest price and/or best value to a responsive and responsible vendor. Most
OGS contracts can be used to make direct purchases. All requisitions should include the OGS customer
number and the NYS contract number.
New York State Preferred Sources
To advance special social and economic goals, New York State grants certain providers a “preferred
source” status under the law. The purchase of commodities and/or services from Preferred Sources is
exempted from statutory competitive procurement requirements. State University of New York (SUNY)
defines preferred sources as the correctional industries program of the New York State Department of
Corrections, approved charitable non-profit agencies for the blind, any employment program serving
mentally ill persons which is operated by the New York State Office of Mental Health, any qualified
charitable non-profit-making agency for severely disabled persons approved by the New York State
Commissioner of Education, or veterans workshops operated by the United States Department of
Veterans Affairs and approved by the New York State Commissioner of Education. Appropriate backup
information designating the vendor as a preferred source must accompany the requisition.
Resources
For assistance with these orders, please contact procure.support@cornell.edu.
Buying Manual Number: 614
Subject: Purchases with Special Procedures Issued: July 25, 2012
Title: Orders Using Sponsored Funds Revised: January 31, 2020
101
Section 614
Orders Using Sponsored Funds
Orders that are funded by Sponsored Funds (KFS fund group CG) must comply with both Cornell
University policy and the policies of the sponsor and/or the federal government.
Agency Specific Terms
There are frequently used terms and conditions associated with a particular funder (e.g., the federal
government) or agency (e.g., USDA). These terms are typically contained in the sponsored agreement
either explicitly or by reference. Federally funded acquisitions must also be in accordance with the
Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (2
CFR 200). The End user and their unit must be aware of the requirements of their particular award and
must notify the SSC of any special requirements that must be referenced on the purchase order.
Frequent terms seen in sponsored agreements include:
• Need for diverse spending to groups such as MBE, WBE, etc.
• Lease-purchase analysis as part of the justification of the acquisition
• Inclusion of certain award-specific terms and conditions in the purchase document
Some purchase requisitions on sponsored funds may be pre-reviewed by Sponsored Financial Services
to assist in compliance with sponsor requirements.
If you have further questions about a particular procurement or award, please contact Sponsored
Financial Services or Office of Sponsored Programs.
Buying Manual Number: 615
Subject: Purchases with Special Procedures Issued: January 15, 2015
Title: Artwork Loans and Purchases for the Herbert F. Revised:
Johnson Museum of Art
102
Section 615
Artwork Loans and Purchases for the Herbert F. Johnson Museum of
Art
The Herbert F. Johnson Museum of Art (Museum) purchases and/or borrows works of art. Because the
Museum routinely conducts such transactions, the Museum is not required to utilize a purchase order for
such transactions as long as the following conditions are met.
Conditions for Purchase Order Requirement Exception
1. The Museum will determine the artwork authenticity prior to finalizing a purchase or loan
agreement with a vendor.
2. The Museum will execute an Acknowledgement of Objects Received form as they take
possession of artwork.
3. The Museum will place the artwork under its Museum Collection and Temporary Loans insurance
policy prior to taking possession of the artwork. (Note: The Museum Collection and Temporary
Loans insurance policy is maintained by the Office of Risk Management and Insurance.)
4. The Museum will add all artwork purchases to its department artwork inventory.
Buying Manual Number: 616
Subject: Purchases with Special Procedures Issued: June 30, 2015
Title: Editors, Indexers, and Designers for CU Press Revised:
103
Section 616
Editors, Indexers, and Designers for Cornell University Press
Cornell University Press will utilize a generic Independent Contractor Agreement for all editors, indexers,
and designers. The agreement template will incorporate the standard terms and conditions of a purchase
order, i.e., insurance and indemnification, necessary to protect the University and mitigate any possible
risk.
With a contract, CU Press may pay editors, indexers, and designers, using the disbursement voucher
method. Because these individual’s exercise complete independence in their edits of University Press
manuscripts, provide service to multiple customers and university press organizations, do not provide
service on the Cornell campus, and do not receive tools or training from the University, the University Tax
Office has waived the service provider questionnaire and evaluation worksheet requirements for these
service providers only.
Cornell University Press may not pay anyone, who is currently a Cornell employee or who has been a
Cornell employee in the past calendar year, for editing, indexing, or design services via disbursement
voucher or purchase order.
The Shared Services Center and CU Press will ensure that the vendors are properly registered as
disbursement voucher vendors with valid IRS Form W-9 and ACH registration.
Buying Manual Number: 617
Subject: Purchases with Special Procedures Issued: February 1, 2016
Title: Export Controls Revised: May 27, 2022
104
Section 617
Export Controls
Export Control Laws are a set of federal regulations that restrict the release of certain items, information
and software to foreign nationals in the United States and abroad. Those regulations are the Export
Administration Regulations (EAR) and International Traffic in Arms Regulations (ITAR), as well as
regulations administered by the Office of Foreign Assets Control (OFAC).
Cornell University is fully committed to compliance with all U.S. Government export control laws and
regulations.
Export Compliance is the responsibility of all Cornell University faculty and staff. All staff, faculty, and
students at the University must comply with the Cornell University Export and Import Control Compliance
Policy.
Penalties for non-compliance with export control laws are severe and impact both the institution and the
individual involved. If an export control violation is determined by an investigating agency, an individual
may be subject to civil and criminal penalties, and Cornell may be subject to, among other penalties,
debarment from government contracts.
The Export Control Office, under the direction of the Vice President for Research and Innovation, assists
the University community in understanding and complying with export control laws and regulations. For
additional information, tools to assist in determining how the regulations apply to your activity, and contact
information for assistance with export control concerns, please visit
https://researchservices.cornell.edu/export-controls.
End-User Responsibilities
1. Be aware of export control compliance and that some export control terms and conditions
provided by suppliers for goods or services must be negotiated or in rare cases may not be
acceptable.
2. Follow any requirements determined and conveyed by Cornell’s Export Control Office or
conveyed by Procurement Services regarding compliance with export control related terms.
3. Do not sign any contracts, agreements, or any other documents that contain terms and
conditions. Attach all such documents to your I Want Document and submit to your service
center.
Service Center Responsibilities
1. Review the I Want Document attachments, e.g., quote, contract, or agreement.
2. If there are export control terms, compare the clauses to the pre-approved clauses below.
a. If they match, proceed with the order process.
b. If they differ, mark the line item as restricted to route the order to Procurement Services for
further review.
3. Inform end-user and department administrator where there is a term that requires Cornell to notify
the supplier if any items are exported or transferred beyond Cornell University, and that the
department and administrator are responsible for complying with the term.
Buying Manual Number: 617
Subject: Purchases with Special Procedures Issued: February 1, 2016
Title: Export Controls Revised: May 27, 2022
Section 617
105
Procurement Services Responsibilities
1. Review the requisition and attachments. If a contract contains export control clauses that differ
from the approved clauses below and have not been approved by the ECO, then contact the
Export Controls Office (ECO). Ensure that purchase orders are not released until the ECO
approves.
2. Negotiate changes or obtain additional information as directed by ECO
3. Obtain ECO final approval prior to releasing the purchase order if the export control clauses are
not pre-approved.
4. Once ECO approval is received (if required per above), release the purchase order and inform
the end-user and department administrator of any modifications made to the export control terms
during the procurement review.
Export Control Office Responsibilities
1. The Export Control Office will review the contract for the Export Control clauses provided by the
procurement agent where Cornell requires such review and will advise on any necessary
changes or other information needed to proceed with the purchase.
2. Inform Procurement Services of final approval (or denial) of agreement in cases where required.
3. Provide regular updates to guidance in the buying manual.
4. Provide training to PIs, Procurement Agents, and research units as reasonably requested.
5. Assist in resolution of screens that return questionable status for new vendors.
Export Control Clauses
ECO Review Required:
These types of clauses/situations require review by the ECO and approval prior to releasing the
purchase:
• Where there is any mention of International Traffic in Arms Regulations (ITAR)
• Where the supplier is providing export-controlled technology or software source code (rare)
• Terms that allow a supplier to provide technical data or information that is export controlled,
whether or not the actual service/item/information is export controlled.
• If a restricted party screen returns questionable status information
ECO Pre-approved Clauses:
These clauses are acceptable and do not require ECO review and should not be sent to the ECO:
• Agreement to abide by all applicable law
• Statement that we will not use items being purchased for prohibited use
• Requirement that purchaser has an export control program in place (Cornell does have a
program in place)
• Requirement that Cornell notify a supplier if the item is being transferred, shipped, exported, etc.,
beyond Cornell
o The service center or Procurement Services will notify the purchaser and department
supervisor or administrator of the requirement
For Help, Please Contact:
Export Control Office
T: 607-255-5284
E: exportcontrols@cornell.edu
Buying Manual Number: 618
Subject: Purchases with Special Procedures Issued: December 8, 2017
Title: Information Technology Governance Process Revised: September 14, 2020
106
Section 618
Information Technology Governance Process
Cornell University expects all stewards and custodians of information technology (IT) systems and
services to develop, manage, and use those systems and services in a manner consistent with the
university's requirements for data security, data confidentiality, and business continuity. In support of this
charge, Cornell has an IT Governance Framework based on formal policy and delegated responsibilities.
Before any IT applications, software, or services are purchased, the university’s approval process must
be followed.
Approval Process Required before Buying IT Software, Applications or Services
Work with an IT leader in your college, department, or administrative unit to submit an IT Statement of
Need.
Submitting an IT Statement of Need is the first step toward purchasing IT software, applications, or
services. This step helps ensure that Cornell makes sound purchasing decisions in alignment with the
university’s goals and remains in compliance with all applicable laws and university policies.
An IT Statement of Need is required for any IT application, software, or service that would require
internal or external IT expertise or effort, or products, tools, or resources to develop, purchase, alter,
upgrade, decommission, etc., an IT application or service, regardless of source of funds or availability of
staff time. This includes IT applications, software, or services that are planned for use within a single
department, center, college, or unit if the application requires expertise beyond that which a non-IT
functional end user could provide.
Exceptions: A few scenarios don’t require an IT Statement of Need (see this list of exceptions).
Two common exceptions: If research sponsored funds are being used for the purchase, OR if
the purchase is for faculty and will not be used with regulated data, an IT Statement of Need is
not needed. When you submit your purchasing request to Cornell Procurement, be sure to
specify the exception.
After the IT Statement of Need is submitted, it enters a one-week collegial review period, during which
university and IT leaders have an opportunity to review and comment. A CIT committee also reviews
the IT Statement of Need during this period.
While the IT Statement of Need is being reviewed, you should begin working through the Checklist for
Purchasing Administrative IT Software and Services, for example, requesting a Technology Risk
Assessment (TRA), having a web accessibility review done, completing the Data Steward Request
Form, or having a privacy review done. Alternatively, you can wait to receive the "next steps" email from
the IT Project Management Office confirming what steps from the checklist must be taken before the
purchase can be processed and approved by Cornell Procurement.
Contact pmo@cornell.edu with questions.
Buying IT Applications, Services, or Software After Completing the IT Statement
of Need Process
When you submit your purchasing request to Cornell Procurement, attach copies of the IT Statement of
Need, the "next steps" email from the IT Project Management Office confirming what steps from the
Checklist for Purchasing Administrative IT Software and Services were required, and documentation
showing the outcome or results of those steps.
Buying Manual Number: 618
Subject: Purchases with Special Procedures Issued: December 8, 2017
Title: Information Technology Governance Process Revised: September 14, 2020
Section 618
107
Please note:
• Must be purchased on a purchase order when there is a contract that requires a signature, e.g.,
vendor contract, export control terms, vendor terms and conditions.
• Orders with incomplete information cannot be processed by the Service Center representative
or procurement agent.
End User Responsibilities
1. Review the IT Governance process at https://it.cornell.edu/itgovernance.
2. Work with an IT leader in your college, department, or administrative unit to submit the IT
Statement of Need and to complete the required parts of the Checklist for Purchasing
Administrative IT Software and Services.
3. The "next steps" email you will receive from the IT Project Management Office will confirm which
steps from the Checklist must be taken before the purchase can be processed and approved by
Cornell Procurement. Once you have completed those steps, attach the following documents to the
I Want Doc:
• The “next steps” email from the IT Project Management Office.
• All required documents identified in the “next steps” email (e.g., Technology Risk
Assessment, Web Accessibility review, Data Steward Request Form, Privacy review).
• Vendor’s quote, agreement, or contract, as appropriate.
For additional information, please contact the Project Management Office (PMO) at P[email protected].
Service Center Roles and Responsibilities
1. PCard edoc (PCDO) processing
a. If the IT Statement of Need process was completed, attach the “next steps” email and all required
documents identified in the “next steps” email to the PCDO, then proceed with normal process
b. If the IT Statement of Need process was not completed, then have end user complete the process
and attach the documents identified in 1.a. to the PCDO
2. I Want Document processing
a. Review the "next steps" email from the IT Project Management Office regarding the IT Statement
of Need and ensure that all documentation is attached to the requisition for the required steps.
(Note: Orders with incomplete or missing documentation must be returned by the procurement
agent.)
b. If a contract is attached (regardless of dollar amount), the order must be processed on a
requisition and marked as line item restricted to ensure routing to Procurement.
c. The requisition must comply with the requirements above, per the “next steps” email attached.
d. If no contract is attached, then proceed with the standard process based on dollar amount after
ensuring that the requirements per the “next steps” email have been met
Buying Manual Number: 619
Subject: Purchases with Special Procedures Issued: February 9, 2009
Title: Graphics Procurement Revised: May 10, 2016
108
Section 619
Graphics Procurement
When purchasing printed material, units must adhere to Cornell’s Visual Identity, Style Guidelines and
Logo Approval for print and novelty/promotional items.
• Cornell Visual Identity website http://www.cornell.edu/identity/
• Cornell Logo website http://www.sao.cornell.edu/SO/logo.php
The Office of Publications and Marketing is responsible for overseeing the university's visual identity for
proper use of the Cornell logo and style guidelines. Publications and Marketing is staffed with writers,
editors, and graphic designers who can work with you to create print and electronic communications that
reflect Cornell's strategic goals. Please contact Publications and Marketing at 255-4945 to discuss your
needs.
Cornell Photography http://imagelibrary.photo.cornell.edu/ website link:
• Purchase Cornell Images
Cornell Digital Print Services http://www.cbsds.cornell.edu/ website link:
• Cost-effective, high quality copy & digital color printing
Buying Manual Number: 620
Subject: Purchases with Special Procedures Issued: May 1, 2017
Title: Arts and Sciences’ Concert Series and Performances Revised: January 31, 2020
109
Section 620
Arts and Sciences’ Concert Series and Performances
Delegation of Signature Authority
This delegation of signature authority from the Senior Director of Procurement Services authorizes the
Department of Music to sign contracts for a concert series on behalf of the University only if the contract
has been reviewed by the Office of University Counsel.
This delegation of signature authority from the Senior Director of Procurment Services authorizes the
Department of Performing and Media Arts to sign contracts on behalf of the University for performances
at the Schwartz Center only if the contract has been reviewed by the Office of University Counsel.
All modifications other than dollar value or performance date will be reviewed by the Office of University
Counsel and the Office of Risk Management and Insurance.
Signature authority for the College of Arts and Sciences’ concert series, performance artists, and major
events up to $100,000 is granted to:
• Deborah Justice, Concert Series Manager, in the Department of Music
• Chris Riley, Adminstrator, in the Department of Performing and Media Arts
Policy Exception
The University Tax Office has consented to allow the Department of Music to engage former Cornell
students or employees, utilize the Performer without Equipment contract, disregard the service provider
attestation, and process the payment via disbursement voucher. This exception was approved by William
D. Allen, Assistant Vice President of Tax and Financial Initiatives.
This exception to policy is granted to the Department of Music only. This exception is limited to an
exemption to the service provider attestation and requirement that the individual be paid through the
University Payroll Office.
Buying Manual Number: 621
Subject: Purchases with Special Procedures Issued: April 1, 2017
Title: Student and Campus Life’s Entertainment Contracts Revised:
110
Section 621
Student and Campus Life’s Entertainment Contracts
Delegation of Signature Authority
This delegation of signature authority from the Senior Director of Procurement Services authorizes the
Assistant Dean of Students and the Student and Campus Life’s Director of Budget and Financial Services
to sign contracts for major events for students on behalf of the University only if the contract has been
reviewed by the Office of University Counsel.
These contracts for major events require specific contractual language and review by the Office of
University Counsel. These two departments host these events and work with both University Counsel and
the Office of Risk Management and Insurance.
All modifications other than dollar value or performance date will be reviewed by the Office of University
Counsel and the Office of Risk Management and Insurance.
Signature authority for the Office of Student and Academic Services and
the
Office of the Dean of
Students for performance artists and major events up to $100,000 is granted to:
• Shura Gat, Campus and Community Engagement Program Coordinator
• Sharon Baum, Sr. Director, Budget & Financial Services (alternate)
Buying Manual Number: 622
Subject: Purchases with Special Procedures Issued: February 9, 2009
Title: External Lease Program Revised: May 14, 2021
111
Section 622
External Lease Program (formerly Section 503)
Cornell’s external lease program with UniversityLease provides departments with the option to return the
leased equipment at the end of the lease term or buyout for Fair Market Value or $1. This program is only
available for items which cost over $100,000.
• Managed by Procurement through UniversityLease
• Operating lease with no asset transferred to Cornell University after end of lease or a $1 buyout
option to own the equipment
• Pre-approved lease program with negotiated rates and terms
• Ability to work with any preferred vendor or other equipment vendor
Procedure:
• End User/Unit obtains a current, written price quote on the purchase price of the required
equipment. The normal procurement process will apply in obtaining the price quote (e.g., bids,
preferred supplier, single/sole source justification). End User/Unit notifies the supplier that the
equipment will be leased through UniversityLease.
• End User/Unit contacts Procurement. Procurement will contact UniversityLease and provide
them with a copy of the quote, the length of the lease and whether the payments will be monthly,
quarterly or annually.
• UniversityLease prepares the quote for the lease and provides the original to Procurement.
Procurement will send the documents to the end user for review and approval to move forward
with the lease.
• End User/Unit initiates an IWNT DOC for UniversityLease covering the lease for the selected
length and payment schedule.
Procurement approves the requisition and sends the purchase order and signed lease documents to
UniversityLease
.
Buying Manual Number: 623
Subject: Procurement Programs Issued: February 9, 2009
Title: Internal Borrowing Guidelines Revised: December 1, 2018
112
Section 623
Internal Borrowing Guidelines (formerly Section 504)
The University’s internal borrowing guidelines are guiding principles to effectively utilize capital resources,
including debt financing, in achieving the mission and goals of the University while minimizing the cost of
funds. Units sponsoring a capital project that requires debt financing must ensure that the project is in
compliance with the Capital Project Funding Guidelines.
Basic Guidelines
Under extenuating circumstances, certain exceptions to these guidelines can be approved by Planning
and Budget and the Treasurer’s office.
• For loans under $500,000, amortization period is five years or less
• For loans under $1,000,000, amortization period is 10 years or less
• Loan repayment period cannot exceed the life of the financed asset. Maximum loan period is 30
years or the term of the underlying debt instrument, whichever is shorter.
• Interest is paid during construction period; principal and interest amortization will begin within one
year of project completion (e.g., certificate of occupancy)
• Compounding of interest will be available only on projects with a repayment source not available
during construction (e.g., gift pledges or revenues to be generated by the completed project)
greater than $5 million and pre-approved by Planning and Budget and Treasurer’s Office
• All projects must have a formal funding plan and a contingency funding plan (backstop repayment
source)
Internal Borrowing Guidelines may be reviewed on the University Treasurer’s Web site at
http://www.finance.cornell.edu/treasurer/debt/internal-debt/internal-borrowing.
Buying Manual Number: 624
Subject: Procurement Programs Issued: February 9, 2009
Title: Small and Diverse Business Programs Revised: March 1, 2012
113
Section 624
Small and Diverse Business Programs (formerly Section 505)
Cornell University endeavors to promote the development of mutually beneficial business partnerships so
that Small, Small Disadvantaged, Woman-Owned, Veteran-Owned, Service-Disabled Veteran-Owned,
and HUB Zone business concerns (hereafter collectively referred to as “small/small disadvantaged
business concerns”) have competitive access to participate under Cornell University's procurement of
materials, supplies, and services consistent with effective and economic purchasing practices.
Cornell University's departments and purchasing personnel should plan purchases in a
manner that encourages participation by small business concerns, including economic quantities,
reasonable delivery schedules and allowing enough time to these types of business enterprises to submit
bids. When mutually beneficial, Cornell University will provide assistance to small/small disadvantaged
business concerns.
You may wish to review the definitions for the above categories in the Federal Acquisition Regulation
(http://www.arnet.gov/far/) 19.7 or 52.219-8. If you have difficulty ascertaining your size status, please
refer to the Small Business Administration's (SBA's) web site
(http://www.sba.gov/contractingopportunities/officials/size/index.html), or contact your local SBA office.
Buying Manual Number: 625
Subject: Procurement Programs Issued: February 9, 2009
Title: Cornell Sustainable Campus Revised: March 1, 2012
114
Section 625
Cornell Sustainable Campus (formerly Section 506)
Cornell University supports research, scholarship, and the practical application of knowledge that address
one of humankind's greatest challenges: achieving a sustainable world for all.
The university's specific commitment to campus sustainability was recently formalized in the new 2010-
2015 Cornell University Strategic Plan. The plan calls for sustainability to be a guiding principle in all
campus operations and specifically the implementation of the Climate Action Plan and Comprehensive
Master Plan. For information on teaching, research, and outreach for sustainability visit the Cornell
Sustainability Portal.
Progress in campus sustainability requires participation and innovation from every corner of campus.
From the links below you can learn about the diverse efforts of student organizations, staff green teams,
and the Cornell Assemblies' three sustainability committees. In particular, the Presidents Sustainable
Campus Committee and the Sustainability Office, along with 10 President's Sustainable Campus
Committee Focus Teams, play important roles in the coordination and support of these efforts.
For more information, visit the Sustainable Campus website at
http://www.sustainablecampus.cornell.edu/about/. For information on the Purchasing Team, visit
http://www.sustainablecampus.cornell.edu/about/#purchasing.
Buying Manual Number: 626
Subject: Procurement Programs Issued: February 9, 2009
Title: Surplus Program Revised: March 1, 2012
115
Section 626
Surplus Program (formerly Section 507)
The Cornell Asset Transfer System (CATS) replaces the capital asset surplus listing. CATS allows units
to post excess and scrap items online and make them available to other units. Units can post and browse
ads for available and wanted Cornell capital and non-capital items only. Personal items may not be
posted on this system.
All policies still apply, including those related to transferring and disposing capital assets. For information
on asset policy, see University Policy 3.9, Capital Assets.
Note: Before capital asset items are posted, they will be routed automatically to Capital Assets for review.
For questions, contact the Capital Assets department via telephone at (607) 255-9872 or 255-9464 or via
e-mail at Uco-[email protected].
For more information on R5 Operations: Respect, Rethink, Reduce, Reuse, Recycle visit its website at
http://r5.fs.cornell.edu/.
The Office of Government and Community Relations coordinates equipment requests from the off-
campus community. You are required to notify and gain approval from Community Relations before a gift
can be made to an individual or outside agency. You may contact them via telephone at 255-4908 or via
e-mail at community_relat[email protected] for more information.
Buying Manual Number: 627
Subject: Purchases with Special Procedures Issued: November 20, 2019
Title: Charter Buses and Limousines Revised: October 30, 2023
Section 627
116
Charter Buses and Limousines
Environment, Health & Safety (EHS) has defined the following process to ensure that hiring transportation
for groups of nine (9) or more passengers, including the driver, is both safe and efficient. To ensure that
the selected vendor is in compliance with Federal Motor Carrier Safety Administration (FMCSA)
standards, all requests must be processed on a purchase order and routed to Procurement
Services by marking the requisition as line-item restricted. Please note that if you are working with a
preferred, contract, or pricing agreement supplier for charter buses and limousines it is not necessary to
route the order to Procurement Services for review as they have insurance on file and have agreed to
Cornell’s terms and conditions.
Vendor Selection
EHS’s approval is required in addition to Procurement Services vendor approval and proof of insurance
requirements. When making your travel arrangements, please allow time for the approval process.
When selecting a provider for transport of nine (9) or more passengers (not operated by Cornell drivers),
refer to Environment, Health and Safety’s (EHS) Passenger Transport Compliance Data Sheet. The list is
limited to recently used companies reviewed for compliance by EHS. If your selected provider is not
listed on the Data Sheet or is listed in red, contact Bill Leonard (255-5616 or wl68@cornell.edu) for
review before proceeding with the requested provider.
Additionally, transportation network companies (TNCs) must identify the passenger transport company
that will be operating the vehicle in their quote, proposal or contract to be considered for review.
Payment Options
Charter buses and limousines for 9 or more passengers are not eligible for procurement card or travel
and meal card use – a purchase order is required.
Hiring Drivers
You may not hire individuals to drive Cornell faculty, staff, students, visitors, or groups of 7 or less. You
may utilize a limousine service, Uber or Lyft business accounts, or taxi services. Contact Risk
Management and Insurance for guidance.
Buying Manual Number: 628
Subject: Procurement Programs Issued: February 9, 2009
Title: Controlled Substances Revised: September 15, 2023
117
Section 628
Controlled Substances
Definition:
A controlled substance is generally a drug or chemical whose manufacture, possession, or use is
regulated by federal and/or state government.
Controlled substances may be used only for duly authorized, legitimate medical or scientific research
purposes, to the extent permitted by a registrant's license and registration, and in conformity with state
and federal statutes and regulations.
Registration and Licensing Requirements:
The purchase of Controlled Substances requires a license with the New York State Department of Health
(NYSDOH) and registration with the Drug Enforcement Administration (DEA). Contact Environment,
Health and Safety (EHS) for assistance in the application process at askEHS.
Vendor Selection:
Controlled substances can only be purchased from vendors that have signed the attestation for selling
controlled substances approved by Cornell University Procurement Services. These vendors include:
• Krackeler Scientific for Sigma-Aldrich products
• MWI
• Midwest Vet
• Coventrus (Schein)
• VWR
Roles and Responsibilities:
End User/Unit:
1. All principal investigators with a need to purchase, possess, and use controlled substances
(Schedule I-V) for laboratory research must register, and maintain active registration, with the
Federal Drug Enforcement Administration (DEA). This registration must be surrendered when the
use of controlled substances in the investigator’s laboratory is terminated. An investigator cannot
provide controlled substances to another individual UNLESS they are collaborating on the same
study and are co-listed on the same protocol that governs the work the controlled substances are
used for.
2. It is also the responsibility of the end user to obtain a NYSDOH license. Usage of another license
or registration number for purchases is prohibited.
3. Complete a DEA form 222 for purchases of Schedule I and II controlled substances and attach to
the I Want document or purchase request submitted to the SSC.
4. Orders for controlled substances shall be limited to only those drugs specified on the principal
investigator’s currently active DEA registration.
SSC:
1. Each controlled substance purchase must be covered by a valid NYSDOH license, DEA
registration, and purchase order for the authorized controlled substance schedule.
Buying Manual Number: 628
Subject: Purchases with Special Procedures Issued: November 20, 2019
Title: Controlled Substances Revised:
Section 628
118
a. If the approved vendor does not have a current copy of the DEA registration and
NYSDOH license, then a copy must accompany the requisition, or the vendor will not
process the purchase order.
2. Confirm that DEA form 222 is attached to requisitions for Schedule I and II controlled substances.
3. Use commodity code 97000000 on the requisition for controlled substances.
Notes:
o The approved vendor will ship the controlled substance to the address listed on the DEA
registration.
o Notifications of controlled substances purchased will be sent to the licensee/registrant
associated with the registration number used.
o Neither Cornell University EHS nor Procurement Services hold a university license or
registration for purchasing or utilizing controlled substances.
Procurement Services:
1. Review vendor selection and documentation
2. Issue the purchase order
Payment Methods
A purchase order is required for the purchase of controlled substances. Use of a procurement card,
disbursement voucher, cash, check, personal payment, or money order is prohibited.
Licensee/Registrant will not be able to purchase controlled substances utilizing a Purchasing Card (P-
card), cash, check, or money order. Contact Procurement Services for questions about the procurement
of controlled substances and EHS regarding the usage of controlled substances in research.
Resources:
For more information regarding the use or purchase of controlled substances in research, consult:
• EHS Controlled Substances website: https://sp.ehs.cornell.edu/lab-research-
safety/bios/controlled-substances/Pages/default.aspx
• Regulatory Agencies:
o NYS Department of Health (NYSDOH):
www.health.ny.gov/professionals/narcotic/licensing_and_certification
o Drug Enforcement Agency (DEA): www.deadiversion.usdoj.gov/drugreg/index.html
Buying Manual Number: 629
Subject: Procurement Programs Issued: May 15, 2020
Title: Needles and Syringes Revised: July 1, 2024
119
Section 629
Needles and Syringes
Users of hypodermic syringes and needles must comply with applicable New York State Department of
Health regulations, and users are responsible for appropriate certifications, procurement, storage,
distribution, and appropriate disposal. New York State Department of Health requires all parties that need
hypodermic needles and syringes obtain a New York State Certificate of Need.
Roles and Responsibilities
End User/Unit:
1. It is the unit’s responsibility to obtain the NYS Certificate of Need for needles and syringes.
2. To apply for a certificate, complete the Certificate of Need to Possess Hypodermic Syringes and
Needles form, which is on the NYS Department of Health, Bureau of Narcotic Enforcement
website at www.health.ny.gov/forms/doh-2278.pdf.
3. Note the certificate number on each requisition or I Want Document.
Shared Services Center
1. Ensure the certificate number is noted on each requisition.
Procurement
1. Procurement Services does not apply for nor maintain the certificate.
Resources
For additional information, contact:
• Bureau of Narcotic Enforcement
Riverview Center
150 Broadway
Albany, NY 12204
Phone: 866-811-7957, option 3
• Cornell Environment, Health & Safety
Website: Safe Use of Needles and Syringes
Contact: askEHS
Regulations
• Application for Certificate of Need to Possess Needles and Syringes
• 10NYCRR Section 80.133 – Hypodermic Syringes and Needles; certificate of need
• NYS Narcotics Licensing
Buying Manual Number: 630
Subject: Purchases with Special Procedures Issued: February 15, 2023
Title: Human Research Participant Payments Revised: July 1, 2024
Section 630
120
Human Research Participant Payments
Cornell University often conducts research projects that involve the use of individuals, i.e., human
participants (also known as human subjects). Payments to human participants may be made in the form
of check, petty cash, or gift cards depending on the circumstances of the study and the dollar amounts
involved. The university permits payments and incentives under the following conditions:
• Payments over $100
o Payments to human participants over $100 per occurrence must be paid directly to the
individual via university check.
o Gift cards, gift certificates or in‐kind payments over $100 per occurrence are not
permitted as remuneration for participation in a research study.
• Payments of $100 or less
o Human participant payments $100 and under per occurrence may be processed via
university check or other methods including petty cash, gift cards or in‐kind
payments.
No payment process can give confidential or personally identifiable information about the human
participants to persons not entitled to receive it by an approved IRB protocol. Names, signatures,
physical addresses, email addresses, and other similar information is personally identifiable information.
Other information may be confidential. Any method of payments to a human participant must be
described in the approved IRB protocol for the study. Any method of payment that requires personally
identifiable information or other confidential information to be revealed in any way can be used only if a
statement explaining the need to reveal the information is included in the Informed Consent Form for the
study.
Covered Parties
This policy applies to all Principal Investigators (PI) and any other individual conducting research that
involves monetary remuneration to human participants
.
Tax Reporting
In order to fulfill the University’s tax reporting responsibilities with the Internal Revenue Service (IRS), the
University is obligated to obtain certain required information from the human participant if they will be paid
$600 or more in a calendar year. The University is obligated to report to the IRS on Form 1099 all U.S.
Citizens and Resident Aliens receiving cumulative payments greater than $600 annually and on Form
1042S all Nonresident Alien payments regardless of dollar value. If it is unclear if a person is a resident or
nonresident alien, the required foreign national forms should be collected and sent to the Tax Office for a
determination.
Please see the Summary of Payment Options and Processing Requirements for Human Research
Participants table at the end of this buying manual section. The following information is currently required
to be reported to the IRS for each human participant receiving remuneration of $600 or more in a
calendar year:
• Full legal name
• Status as a U.S. citizen, permanent resident, or resident alien for U.S. tax purposes
• Social security number (SSN) or individual taxpayer identification number (ITIN)
• Permanent legal address
• Mailing address (if different)
Informed Consent Form
The informed consent form for all studies that involve remuneration of $600 or more, including
confidential studies, shall disclose these IRS compliance requirements in a manner approved by the IRB.
Buying Manual Number: 630
Subject: Purchases with Special Procedures Issued: February 15, 2023
Title: Human Research Participant Payments Revised: July 1, 2024
Section 630
121
If identifiable information will be sent to Cornell University departments (service center, Payment
Services, etc.), this too, must be disclosed in the consent form. See the Cornell IRB informed consent
templates for sample language to use.
Confidential Studies
With the understanding that all research studies involving human participants should protect the privacy
and confidentiality of the participant, some studies are of a more sensitive nature and may require careful
consideration of the payment method regardless of dollar amount. Consult the IRB to determine if your
study is eligible for an exception on the payment method and/or documentation requirements for
payments over $100. If the exception is approved, the IRB staff will provide an email to document the
approved exception.
Generally, the procedures for obtaining the funds for payment are as described below in “Paying Human
Participants” and payments may not be made in the total amount of $600 or more to any human
participant in a single calendar year unless arrangements are made to obtain the required information
described below.
Reimbursements
Reimbursements for actual travel expenses (e.g., parking, mileage, tolls, etc.) to human participants are
not considered compensation by the University or the IRS and can be processed as non-employee
reimbursement using the appropriate object code. Cornell is not required to report these reimbursements
as income to the IRS; therefore, these funds are not part of the $600 threshold for tax reporting.
The research unit may pay on-campus Park Mobile payments for research participants with a travel and
meal credit card. All travel related reimbursements must follow university policy 3.2, Travel Expenses.
Typically, travel reimbursements are processed via check or petty cash.
Required Information
Regardless of the form of payment and type of study, the information listed below is required to be
captured by the Principal Investigator (PI) as part of the research record supporting payment to all human
participants. Payment documentation should be stored separately from research data.
• Date of study and remuneration
• Type of disbursement (e.g., check, cash, gift card)
• Amount of disbursement
• Individual disbursing payment
• Human participant’s name (non-confidential studies) or identification number (confidential studies)
• IRB protocol number
• IRS Form W-9 or W-8BEN for check payments over $100
Paying Human Participants
• Form of Payment: University Check
o Mechanism for Payment: I Want Document (Disbursement Voucher)
o Preferred Method When: Payment by university check is the required method for all
payments over $100 unless an exception has been granted for highly confidential
studies.
o Process Requirements:
Buying Manual Number: 630
Subject: Purchases with Special Procedures Issued: February 15, 2023
Title: Human Research Participant Payments Revised: July 1, 2024
Section 630
122
Complete an I Want document. Include the payee’s name, address, and email
address and payment amount. (Note: Informed Consent Disclosure must state
that this information will be revealed.)
The PI has the discretion to collect either the W-9/W-8BEN form or an email
address. The service center can use the email address to send an electronic
registration invitation to the human participant.
Reference the IRB number in the business purpose. Business purpose should
state: “Confidential study [date]; IRB Number ###; the PI securely maintains
study data.”
• Form of Payment: Gift Cards
o Mechanism for Payment: Tango Cards or non-travel cash advance
o Preferred Method When: Gift cards may be appropriate for smaller scale studies when
the confidentiality of participants must be maintained, and the per visit payment to the
participant is $100 or less.
o General: Payments to each human participant by gift card must be individually accounted
for and reconciled monthly.
o Documentation in PI’s Study File:
Documentation showing receipt of payment
• The documentation can be a single receipt per recipient or a listing with
each participant’s identification number and signature.
• If recipients are offsite and cards are mailed or emailed, documentation
needs to include reconciliation of cards purchased, distributed, and
remaining and a certification that all cards charged to the sponsored
agreement were distributed to participants or refunded thereto.
o Process Requirements:
Gift cards and eGift cards should be purchased using tangocards.com or a non-
travel cash advance
Reconciliations are required.
Do not pre-fund your Tango Card account with the full budget for participant
payments. Your Tango Card account should only be pre-funded with payments
anticipated for issuance within the next 30 days.
Follow the Tango Card instructions to submit an IWNT document for funding of
your Tango Card platform. Payment via procurement card is not allowed.
• Form of Payment: Cash
o Mechanism for Payment: Petty Cash
o Preferred Method When: For studies involving one-time cash payments to participants of
$20 or less.
o General: Studies in which the recipient is paid in cash must be done through the
establishment of a petty cash fund used exclusively for the purpose of paying human
participants for a particular research study. For audit purposes, when using petty cash as
a disbursement mechanism, a log must be tracked and signed by the PI or the PI’s
designee, but not the person who distributed the funds. Payments to each human
participant must be individually accounted for and reconciled monthly.
o Documentation in Study File:
Documentation showing receipt of payment with participant’s signature and date.
• The documentation can be a single receipt per recipient or a listing with
each participant’s identification number and signature.
• For Confidential Studies, participant signatures should not be shared
with the service center, as they are considered personally identifying
information. In these cases, the PI must retain the documentation
described above in their files.
o Process Requirements:
To request a petty cash fund, complete the Establish a New Petty Cash Fund
form for a review by Accounting.
Buying Manual Number: 630
Subject: Purchases with Special Procedures Issued: February 15, 2023
Title: Human Research Participant Payments Revised: July 1, 2024
Section 630
123
Once approved, contact your service center for assistance with requesting a new
petty cash account.
Responsibilities of the Petty Cash custodian include safeguarding the funds,
maintaining receipts or records to support transactions, and completing a
monthly reconciliation. A reconciliation template may be found at
https://www.finance.cornell.edu/sites/default/files/petty-cash-reconciliation.xlsx.
Note that the Study File includes documentation for payment to X number of
participants paid a total of $$$ from date to date for IRB #.
To replenish the fund or close it out after the research is completed, contact your
service center.
• Form of Payment: Drawing or In-kind gift for tangible personal property
o Mechanism for Payment: Determined by the nature of the prize, most likely e-SHOP or
procurement card.
o Preferred Method When: Eligibility for a prize may be appropriate when the nature of the
study requires limited incentive, such as one-time participation in an online survey.
The consent form and recruitment materials (if applicable) must be in accordance
with IRB guidelines.
o Documentation in Study File:
Prize winner legal name, address, and social security number (if cumulative
payments/prizes during the calendar year could reach $600 or more).
Documentation showing receipt of prize or gift with participant’s signature.
The documentation can be a single receipt per recipient or a listing with each
participant’s identification number and signature.
o Process Requirements:
Prizes should be purchased in e-SHOP or with a procurement card, not personal
funds.
Prizes with a value of $600 or greater must be reported to the IRS. If value is
greater than $600, collect an IRS form W-9 or W-8BEN from the recipient. Report
on the Cornell Tax Office’s Gift Card/Certificate Reporting form and submit to the
Tax Office with the IRS form.
Receipts are required for all procurement card transactions charged (or
transferred) to sponsored awards and federal appropriations accounts
.
• Unauthorized Forms of Payment: Personal Funds, Venmo, PayPal, Cash
Applications
o Under no circumstances should investigators' personal funds, Venmo, PayPal, or other
cash applications be used to pay human research participants.
o University funds (received via petty cash or advance) should not be transmitted via
Venmo or PayPal or other cash applications to human research participants.
Online Survey Tools
Online survey tools, such as, Mechanical Turk, Prolific, Cloud Research, are considered a professional
service. These providers utilize a unique identifier (or worker ID) rather than a participant’s name. A report
showing the unique identifier, date of payment, and payment amount may act as a receipt showing
participation in the study and should be maintained by the principal investigator. The university provides
access to the Qualtrics survey tool at no cost to faculty, staff, and students. See
https://it.cornell.edu/qualtrics for further information.
Many of these survey tools require advance payments. Payments may be issued via procurement card or
purchase order. It is the responsibility of the PI/researcher and their support team to ensure the funds are
reconciled and unused funds are refunded appropriately. Please note that Mechanical Turk will invoice for
payment rather than requiring advance payment.
Buying Manual Number: 630
Subject: Purchases with Special Procedures Issued: February 15, 2023
Title: Human Research Participant Payments Revised: July 1, 2024
Section 630
124
IT-related purchases for faculty do not require an IT Statement of Need unless regulated data will be
stored. Generally, IT applications, software, or services being purchased with sponsored funds don’t
require an IT SoN. For more information on the IT Statement of Need (SoN) process, please visit the
IT@Cornell website.
Object Code Use
When processing human participant payments, use the correct general ledger object codes:
• Cash, Check, or Gift payments: Use object code 6200, Fees-human participants
• Gift cards through Tango
o To fund Tango before participation, use object code 1610, Prepaid expense and deferred
charges
After cards are distributed, a Distribution of Income (DI) e-doc should be used to
move funds to object code 6200, Fees-human participants
o To fund Tango after participation, use object code 6200, Fees-human participants
• Travel reimbursement
o Use object code 6751, Travel-domestic, non-employee
o Use object code 6750, Travel-domestic, employee
• Research services, survey software, online survey tools or data collection
o Use object code 6610, Services-Corporations, or other appropriate service object code
• Participant advance – may be used for low dollar remuneration to study participants. Advances
should not be issued more than 30 days before the date you reasonably expect to incur the
associated expense for Cornell University, must be substantiated within a reasonable timeframe,
and the unsubstantiated advance must be returned within 120 days of receipt. See the Tax Office
guidelines at https://finance.cornell.edu/tax/fordepartments/expensetaxability.
o Use object code 1420, Accounts Receivable – Participant Advance
o For information on advances, visit Accounting’s website at
https://finance.cornell.edu/accounting/topics/traveladvances#participant
Record Retention
In the event of a university, IRS, or sponsor audit, it will be the joint responsibility of the PI/researcher and
the related service center, working with Payment Services, to supply the Audit Liaison with all required
supporting documentation for human participant payments made from the PI/researcher’s accounts.
PI/researchers must ensure all high-risk confidential information, including data relating to confidential
studies, is maintained securely and in compliance with Policy 4.21 Research Data Retention. The Division
of Financial Services retains supporting documentation for any checks issued to an individual in
accordance with Policy 4.7 Retention of University Records. Sponsored agreement terms may dictate a
longer retention period.
Roles and Responsibilities
The Principal Investigator, in conjunction with their support team, is ultimately responsible to assure
proper accounting of payments made to human participants for fiscal accountability and federal tax
purposes and to maintain privacy of the human participant. Other responsibilities include:
• Ensure that all human participants are informed during the consent process (verbal or written) of
Cornell’s responsibility for reporting human participant remuneration to the IRS for aggregate
payments of $600 or more.
• Document the participants’ names or identification numbers and payments to those human
participants in a log for studies where remuneration or incentive payments are used as
enticement for participation. Tango Cards has standard reporting that provides this information for
your records.
Buying Manual Number: 630
Subject: Purchases with Special Procedures Issued: February 15, 2023
Title: Human Research Participant Payments Revised: July 1, 2024
Section 630
125
• Omit confidential information from check requests (I Want documents). The request should not
link the participant to the research study by title nor should it ever include medical information,
diagnostic information, personal information, or other legally protected health information.
• Ensure that potentially sensitive data is protected.
• All collected IRS forms should be sent to the Service Center via Cornell Secure File transfer and
should not be retained locally.
• Participants' social security number should not be kept on a local desktop, laptop, or other
computing device. The regulated data chart allows storage on Managed Servers only.
The table below is a summary of the requirements and processing instructions and is intended for
reference.
Summary of Payment Options and Processing Requirements for Human
Research Participants
U.S. Based Study
Value $100 or less
Payment Type
Requirements and Processing
Gift Card
Cash
Drawing or In-Kind Gifts
• Required: Signed receipt or acknowledgement of payment. Keep on file with PI/Office.
• Best Practice: Collect full legal name and keep on file with PI/Office.
Check
• I Want Document submitted to service center with IRB number
• U.S. Citizen or resident alien: IRS Form W-9
• Foreign National: IRS Form W-8BEN
Value over $100
Check
•
I Want Document submitted to service center with IRB number
• U.S. Citizen or resident alien: IRS Form W-9
• Foreign National: IRS Form W-8BEN
Foreign-Based Study – U.S. Tax Resident
Value $100 or less
Payment Type
Requirements and Processing
Gift Card
Cash
Drawing or In-Kind Gifts
• Required: Signed receipt or acknowledgement of payment. Keep on file with PI/Office.
• Best Practice: Collect full legal name and keep on file with PI/Office.
Check
• I Want Document submitted to service center with IRB number
• U.S. Citizen or resident alien: IRS Form W-9
Value over $100
Check
• I Want Document submitted to service center with IRB number
• U.S. Citizen or resident alien: IRS Form W-9
Foreign-Based Study – Foreign National
Value $100 or less
Payment Type
Requirements and Processing
Gift Card
Cash
Drawing or In-Kind Gifts
•
Required: Signed receipt or acknowledgement of payment. Keep on file with PI/Office.
• Best Practice: Collect full legal name and keep on file with PI/Office.
Check
• I Want Document submitted to service center with IRB number
• IRS Form W-8BEN
Value over $100
Buying Manual Number: 630
Subject: Purchases with Special Procedures Issued: February 15, 2023
Title: Human Research Participant Payments Revised: July 1, 2024
Section 630
126
Gift Card
Cash
Drawing or In-Kind Gifts
• Required: Signed receipt or acknowledgement of payment. Keep on file with PI/Office.
• Best Practice: Collect full legal name and keep on file with PI/Office.
Check
•
I Want Document submitted to service center with IRB number
• IRS Form W-8BEN
Definitions:
Gift card, gift certificate: A gift card is a prepaid debit card that may be used to pay for purchases. The
card may be for a specific retailer, or it may be issued by a Visa, MasterCard or American Express. Gift
cards can be a physical card or an electronic card. A gift certificate is a voucher that is exchangeable for
a specified cash value of goods or services for a particular place of business.
Informed Consent Form: Informed consent is the process of telling potential research participants about
the key elements of a research study and what their participation will entail and obtaining participants’
agreement to take part in the research. The informed consent process typically includes a written
document—the informed consent form.
In-kind payments: Goods or services provided for payment instead of cash or cash equivalent.
IRB Protocol: The IRB protocol is the official record of the human participant research study as reviewed
and approved by the IRB. It defines study objectives, research population, planned procedures, data
management, and other administrative aspects of the study.
Foreign National: A foreign national is an individual who is a citizen of any country other than the United
States. These individuals are treated differently for tax purposes than U.S. tax residents.
Study file: Documentation of the study retained by the PI, including but not limited to research data.
Confidential or personally identifiable information included in the study file can only be revealed in
conformance to Cornell Policy, approved IRB protocols, relevant informed consent documentation, and
applicable law and regulation.
U.S. Tax Resident: a person who is subject to U.S. tax reporting rules. U.S. tax residents include:
• U.S. citizens
• Permanent residents: persons who are allowed to reside indefinitely within a country of which
they are not citizens. For tax purposes, permanent residents are subjected to the same rules that
apply to U.S. citizens and are taxed on their worldwide income.
• Resident aliens for U.S tax purposes: Defined by the IRS as foreign nationals who satisfy the
substantial presence test. These individuals are taxed under the same rules that apply to U.S.
citizens and are taxed on their worldwide income.
Visa: An official government document that gives someone permission and establishes conditions to
travel into a specific country and stay there for a set period.
Buying Manual Number: 700
Subject: Purchases with Special Procedures: Paying for Services Issued: February 9, 2009
Title: Paying for Services – Getting Started Revised: July 25, 2024
127
Section 700
Paying for Services – Getting Started
A service is an activity in which labor is the major factor and not merely incidental to the production,
acquisition, and/or delivery of a good. The procurement of services has unique requirements, and the
first requirement is an evaluation of whether, based upon guidelines established by the Internal Revenue
Services, the individual or entity providing the service should be classified as an employee or an
independent contractor (vendor).
The next page contains a flowchart that will enable units to quickly determine whether they must contact
another university office for guidance, appoint the service provider as an employee, or perform a service
provider evaluation.
When a service provider evaluation is necessary, a questionnaire will be completed by the potential
service provider. This Service Provider Questionnaire will enable the unit to evaluate whether a service
provider should be classified as an employee or independent contractor. The evaluation and
classification must be performed before engaging an individual or entity to perform services and before
any services begin. It must be based upon IRS guidelines, not on administrative ease or relative costs.
Note: If the IRS reviews classifications and determines the service provider should have been
classified as an employee, any costs associated with misclassification (taxes, interest, penalty) are the
responsibility of the unit.
Paying Foreign Nationals
Individuals entering the United States to work at Cornell University must complete the service provider
evaluation process to determine if they can be engaged as an independent contractor or as an employee.
If the work is to be performed outside the United States, please contact your unit’s iCertis contract
administrator.
Worked Performed Outside of the United States
Consult your unit's contract administrator for International Independent Contractors (link here:
https://global.cornell.edu/sub/operations/collaborations-and-agreements/international-contracting-
basics/contract).
Buying Manual Number: 700
Subject: Purchases with Special Procedures: Paying for Services Issued: February 9, 2009
Title: Paying for Services – Getting Started Revised: July 25, 2024
Section 700
128
NO
SERVICE PROVIDER EVALUATION DECISION FLOWCHART
Are you purchasing only goods with no
service component?
YES
Are the services “specialized,” e.g., real estate,
insurance, as described in Section 201?
Are the services listed in Section 203 as
exempt from the Service Provider Evaluation?
Has the service provider been approved by
Procurement Services and signed a university
contract? For a listing of preferred and
contract suppliers, visit
https://www.finance.cornell.edu/procurement/s
upplierlistview.
Is the service being performed consulting or
professional services or IT related services or
has the vendor presented a contract?
Is the service being performed listed in the
limited engagement services table?
Submit an I Want document with a quote or scope of
work.
Note: It is understood that the SSC may not be aware of all facts related
to service providers’ current or former affiliation with Cornell. Should
additional facts become available when the service provider completes
the vendor registration, Procurement Services will notify the SSC.
Are you paying for catering services and/or
event space rental?
Stop! A purchase order and a service provider
evaluation are required. Refer to the Getting
Started instructions below and select the
appropriate contract.
Follow the procurement method listed in the
table and submit an I Want Document
Stop! Use the procurement method
listed on the Procurement Services
website for the preferred and contract
suppliers.
Stop! A purchase order is required.
Submit an IWNT document with quote
and, if available, the vendor’s contract.
Stop! If one of the very limited exceptions defined
in Section 203 applies, follow the payment and
contract instructions found in Section 203.
Stop! Consult Section 201 and contact
the appropriate office for further
i
Stop! This applies only to services.
NO
NO
NO
NO
NO
NO
Is the service provider a non-U.S. citizen and/or are the
services being performed outside of the United States?
Stop! Consult your unit’s contract
administrator for international
Independent Contractors.
NO
YES
YES
YES
YES
YES
YES
YES
Buying Manual Number: 700
Subject: Purchases with Special Procedures: Paying for Services Issued: February 9, 2009
Title: Paying for Services – Getting Started Revised: July 25, 2024
Section 700
129
Service Providers – General Information
The following information does not apply to service providers appointed through Payroll.
Insurance
The service provider (vendor) is generally required to provide proof that they meet the university’s
minimum insurance requirements if the performance of the service could result in liability to the University
(i.e., services performed on university property). For information on the university’s minimum insurance
requirements, see Section 405, Insurance Requirements topic within this manual. If you are unsure as to
whether the intended service provider must provide proof of insurance, contact Risk Management and
Insurance.
Note: Payment Services (in the SSC Procure-to-Pay department) updates the KFS vendor record for
those vendors that are required to provide proof of adequate insurance coverage. You may check the
Insurance tab on the vendor record in KFS.
Contracts
A contract must be executed between the service provider (vendor) and the university in order to
establish mutually agreed upon terms and conditions of the transaction. The university’s purchase order
is a legally binding contract that contains terms and conditions designed to protect the interests of the
university.
All engagements for services with non-U.S. individuals or entities require a purchase order and should
specify in the purchase order line-item description whether the services were physically performed within
or without of the U.S.
When procuring services, it is often advisable to include terms beyond those in the Cornell purchase
order’s standard terms and conditions, such as the scope of work or deliverables, acceptance criteria,
identification of who will provide the services, etc. Contracts covering several specific types of services
have been drafted by the Office of University Counsel and these documents will be used in conjunction
with the purchase order. The contracts, listed below, can be found on the Procurement website at
http://www.finance.cornell.edu/procurement/tools-forms/forms/contracts.
Process
1. If your vendor is international (i.e., an individual working outside the U.S. or a foreign entity
performing work within or outside of the U.S.), see International Consulting Agreements.
2. Check the list of limited-engagement services below to see if there is a specific process for the
service you need.
3. If this is not a limited-engagement service, you must follow the Consulting and All Other Services
process below.
International Consulting Agreements
• If the vendor is international (i.e., an individual working outside the U.S. or a foreign entity
performing work within or outside of the U.S.) follow the International Consulting Agreements
process below.
• For tax reporting purposes, indicate in the business purpose and line-item description
whether the service will be/was provided inside or outside of U.S.
Buying Manual Number: 700
Subject: Purchases with Special Procedures: Paying for Services Issued: February 9, 2009
Title: Paying for Services – Getting Started Revised: July 25, 2024
Section 700
130
• If individuals (including non-Cornell students) are performing services outside the U.S.,
departments should follow the International Consulting agreement process and contact their
respective contract administrators well in advance of engaging the student to be sure the
payment is allowed.
Limited-Engagement Services
• Check the table below and follow the process for the specified limited engagement services.
• These services generally are one-time, finite and fixed services that last less than 12 months.
For all other services, see Consulting and All Other Services below.
• A service provider evaluation is not required for the limited-engagement services listed below.
• The purchase order should have a quote or scope of work, vendor’s contract (if available for
Procurement’s review), addenda (if required for the type of service), and a clearly defined
service period.
Service
Provider Type
Procurement
Method
Recommended
Object Codes
Cornell
Contract
Template
Insurance
Requirements
Catering and/or
Event Space
Rental
Purchase order
6610-Services-
Corp
6620-Services-IC
None
Standard
requirements
apply.
1
Language
translation and
interpretation
(including sign
language)
Disbursement
voucher
6610-Services-
Corp
6620-Services-IC
None
None
Performers with
equipment
4
Purchase order
6615-Services-
Performers
None
Standard
requirements
apply.
1
Performers
without
equipment
3,5
Purchase order
6615-Services-
Performers
None
Standard
requirements
apply.
Photographer,
artist, illustrator
2
Purchase order
6610-Services-
Corp
6620-Services-IC
Usage Rights
Addendum to PO
signed by service
provider only.
Standard
requirements
apply.
Transcription
services
Purchase order
6610-Services-
Corp
6620-Services-IC
IT Professional
Services
Agreement (if not
using preferred
supplier)
Standard
requirements
apply.
Videography
2
Purchase order
6610-Services-
Corp
6620-Services-IC
Work for Hire
Addendum to PO
Standard
requirements
apply.
Buying Manual Number: 700
Subject: Purchases with Special Procedures: Paying for Services Issued: February 9, 2009
Title: Paying for Services – Getting Started Revised: July 25, 2024
Section 700
131
Writer, editor,
indexer
2
Purchase order
6610-Services-
Corp
6620-Services-IC
Work for Hire
Addendum to PO
Standard
requirements
apply.
1. Certificates of insurance must be on file prior to work commencing for activities identified as
high risk. High risk activities are identified as charter events (i.e. watercraft, aircraft, bus, van),
drones, catering service, alcohol service, equipment installation, IT related consulting service,
software or website implementation, services that require human contact (i.e. massage or
henna service), contact with minors, or entertainment-related equipment (i.e. bounce houses,
concert equipment). In addition, the procurement agent has the discretion to require a
certificate of insurance beyond these instances.
2. Cornell addendum is required.
3. Payment terms for performers without equipment will be set to Net.
4. Performers with equipment – Individual(s) who performs for entertainment at a public event,
includes disk jockey, clown, comedian, musician, mime, or small band (with instruments and
equipment), etc. that could create a liability for the university, such as bubble machines,
inflatables, dry ice machines, lighting, performer supplied stages, magician’s equipment
(disappearing boxes), helium tank, etc.
5. Performer without equipment - Individual(s) who performs for entertainment at a public event,
includes disk jockey, clown, small band with instruments only, comedians, musicians with
instruments only, mimes, etc.
Cautions:
o If the business purpose for the transaction is federal unallowable, please use object
code 6740 – Services – Federal Unallowable.
o These service provider engagements are not eligible for procurement card or
disbursement voucher payment.
o Major concert events held in venues such as Bailey Hall or Statler Auditorium require
consultation and contract review with University Counsel’s Office.
Required Limited-Engagement Addenda to Purchase Orders
The following types of limited-engagement activities require and addendum.
• Photography-Artist-Illustrator-Intellectual Property License Addendum – mandatory
addendum which defines Cornell’s right to use the work, while the photographer, artist, and
illustrator retain ownership. Must be signed by the service provider.
• Writing, Editing, Indexing, Videography–Work for Hire Addendum – required to establish
work for hire to ensure Cornell ownership of work product. Must be signed by the service provider
and SSC Procure-to-Pay director or manager (or procurement agent).
Consulting and All Other Services
For international service providers (i.e., an individual working outside the U.S. or a foreign entity
performing work within or outside of the U.S.), follow the instructions in the International Consulting
Agreements section below and process on a purchase order. If you are engaging a foreign national within
the US, if they are on a non-Cornell sponsored visa, you may not engage them without permission from
the sponsoring agency. Remember, if you are working with an individual who will perform services
outside the U.S, contact your iCertis contract administrator. If you are working with an entity
(business), follow the Procurement instructions below.
Step 1: Domestic Service Provider Evaluation Process
Before engaging a service provider, IRS guidelines require you to evaluate whether the
individual or entity providing the service should be classified as an employee or an independent
contractor (vendor). The evaluation and classification must be performed before engaging an
Buying Manual Number: 700
Subject: Purchases with Special Procedures: Paying for Services Issued: February 9, 2009
Title: Paying for Services – Getting Started Revised: July 25, 2024
Section 700
132
individual or entity to perform services and before any services begin.
• Perform this evaluation and classification before any services begin.
• If the vendor is an individual or if their legal entity status is uncertain, complete the Service Provider
Evaluation Process.
• Payments to Cornell Students - If you are engaging a Cornell student to conduct a workshop or
perform a service, follow the process defined in Section 203, Payments to Students.
• If you are engaging a foreign national within the U.S., if they are on a non-Cornell sponsored visa,
you may not engage them without permission from the sponsoring agency.
Service Provider Evaluation Process
1. If the service provider is classified as an entity or is determined to be an independent
contractor:
1. Complete the Professional Services or IT Professional Services Agreement and follow
the purchase order process.
2. Attach the contract and any supporting documentation (e.g., scope of work, single/sole
source justification form) to the requisition or I Want document PRIOR to the start of
service.
2. If the service provider is classified as an employee:
1. Consult your unit's human resources department.
2. Alternatively, you may be able to engage the service provider through one of Cornell’s
recommended temporary staffing companies.
Step 2: Select the Engagement Process
• For independent contractors or consultants performing services outside of the U.S. (regardless of
nationality) or engaging a foreign entity, follow the International Consulting Agreements process.
• If the vendor is a legal entity (e.g., corporation, partnership, limited liability partnership, limited
liability company) or classified as an independent contractor per the service provider evaluation
process:
o Use the service provider’s contract or select either the Professional Service or IT Professional
Service agreement listed under Consulting Agreements for Work Performed in the United
States below.
o Send the applicable professional service agreement to the service provider to complete and
sign.
o Submit the completed agreement and a robust statement of work to the SSC using an I Want
document. Attach the service provider questionnaire and worksheet, if applicable.
o Attach the appropriate supporting documentation, which may include quote, scope of work,
single/sole source justification form for orders over $25,000, statement of need, technology
risk assessment, web accessibility determination, etc.
• If the service provider is classified as an employee, consult your human resources partner to
review the engagement options, which may include engagement through a temporary staffing
agency.
Consulting and Professional Service Agreements for Work Performed in the U.S.
Agreements must be complete, initialed by the unit, signed by the service provider/consultant/contractor,
and include a detailed statement of work. A purchase order is required. If possible, discourage changes to
the contract language.
• Professional Services agreement – for use with independent contractors (individuals or
business entities); covers issues such as tax and liability.
Buying Manual Number: 700
Subject: Purchases with Special Procedures: Paying for Services Issued: February 9, 2009
Title: Paying for Services – Getting Started Revised: July 25, 2024
Section 700
133
• IT Professional Services agreement – for use with independent contractors (individuals or
business entities) providing information technology and cloud computing services; covers issues
such as tax and liability. This language is specifically written for information technology
companies that provide hardware, software, web design, or cloud services.
• Amendment to Professional Services agreement - use this form to amend the original
Professional or IT Professional Services agreements.
• International Independent Consultant agreement – for individuals working outside of the U.S.
or foreign entities performing work within and outside of the U.S. to address tax, liability, and
contract terms and conditions for work performed overseas.
o For Individuals Working Outside the U.S.
Before engaging/hiring short-term consultants, lecturers, data collectors, and
others for international assignments, contact your unit’s international independent
contractor representative to begin the review process.
Your iCertis contract administrator will request that the individual complete the
International Independent Contractor Certification and Attestation (PDF, 256 KB).
This form must be completed by any individual who provides services in any
jurisdiction outside the United States on Cornell’s behalf, regardless of nationality
or country of residence. All information must be entered completely by the person
to perform the services to ensure accuracy and a timely review. The information
on this form is to be used to determine whether the services and individual
comply with the independent contractor guidelines set out by the U.S. IRS and
the laws of the country where the services will be performed.
Upon determination that the independent contractor guidelines can be met, your
unit’s international independent contractor representative will submit the
appropriate agreement for unit approval and executing signatures through
Cornell’s online contract management system.
Follow the purchase order process.
Before the expiry date of the agreement, submit details of any amendments to
the international independent contractor's agreement to your unit’s international
independent contractor representative for review.
o For Foreign Entities (Businesses)
Use the International Independent Consultant agreement for work performed
outside of the U.S.
Use the International Independent Consultant agreement or IT Professional
Services agreement, as appropriate, for work performed inside of the U.S.
Follow the purchase order process.
• Executive Search Firm Agreement Template -- All final search firm agreements must be
approved by Human Resources. The authorizing party must retain a copy of this contract. A
purchase order is required. In addition, please forward a copy of this agreement, completed and
signed by the contractor and university representatives, along with all relevant attachments,
to Sonja Baylor, Division of Human Resources, 337 Pine Tree Road, Ithaca, NY 14850.
Finally, units with unusual business needs require customized contracts. Such contracts must be
reviewed by the Office of University Counsel; therefore, contact Procurement prior to initiating the
purchase order. Additional information on contracts can be found in section 409.
Catering and Event Space Rental
Catering occurs when a vendor prepares, sets up, serves or cleans up food on Cornell controlled
property, including both facilities owned by Cornell and facilities (event space) that may be rented or
Buying Manual Number: 700
Subject: Purchases with Special Procedures: Paying for Services Issued: February 9, 2009
Title: Paying for Services – Getting Started Revised: July 25, 2024
Section 700
134
leased and only under Cornell’s control for the period of the event (i.e., rental of a banquet hall). Catering
should not be confused with simple delivery where no service is provided on site (i.e., pizza delivery).
Below the contract requirements, deposit and final payment options for catering only, event space rental,
catering with event space rental are defined. If the vendor presents their own contract, procurement agent
review is required.
Catering Only
Dollar Amount
Contract
Requirements
Deposit Options
Final Payment
Options
Caterers with a
University Contract
Up to $10,000
A purchase order if
SSC
pcard is not
accepted
.
A q
uote or scope of
work is required.
A deposit up to
50% of the total,
not to exceed
$5,000, may be
paid
by SSC pcard.
The SSC may make
final payment on a
pcard.
The total
payment (sum of
deposit and final
payment) may not
exceed $10,000.
Caterers with a
University Contract
$10,000 or
greater
A purchase order is
required.
A
quote or scope of
work must
be attached
to the requisition.
After the PO is
issued, a deposit
up to 50% of the
total, not to exceed
$10,000
, may be
paid
by SSC pcard.
Payments totaling
over $10k must be
made through the
purchase order
process
.
All Other Caterers
All dollar
amounts
A purchase order is
required.
A quote or scope of
work must be attached
to the requisition.
If the
vendor provides a
contract, attach it to
the requisition for
Procurement review.
After the PO is
issued, a deposit
up to 50% of the
total, not to exceed
$10,000
, may be
paid
by SSC pcard.
The SSC may make
final payment on a
pcard.
The total
payment (sum of
deposit and final
payment) may not
exceed
$10,000.
Payments
totaling
over $10
,000 must
be
made through the
purchase order
process.
Caution: When hosting events in a private residence, you must contact the Department of Risk
Management and Insurance prior to the event. It is imperative to ensure that the appropriate vendor
insurance and licenses are in place to protect the homeowner from potential liability.
Dollar
Amount
Contract
Requirements
Deposit
Options
Final Payment
Options
Event Space
Rental OR
Catering with
Event Space
Rental
Up to $10,000
A purchase order is
required.
Attach a quote or
scope of work and, if
provided, the
vendor’s contract for
Procurement review.
After PO is
issued, a deposit
up to 50% of the
total, not to
exceed $5,000,
may be paid by
SSC pcard.
The SSC may
make final
payment on a
pcard. The total
payment (sum of
deposit and final
payment) may not
exceed $10,000.
Event Space
Rental OR
$10,000 or
Greater
A purchase order is
required.
After the PO is
issued, a deposit
up to 50% of the
Final payment to
be made through
Buying Manual Number: 700
Subject: Purchases with Special Procedures: Paying for Services Issued: February 9, 2009
Title: Paying for Services – Getting Started Revised: July 25, 2024
Section 700
135
Catering with
Event Space
Rental
Attach a quote or
scope of work and, if
provided, the
vendor’s contract for
Procurement review.
total, not to
exceed $10,000,
may be paid by
SSC pcard.
the purchase order
process.
For your convenience, the list of caterers with contracts is available on the Procurement website at
https://www.finance.cornell.edu/procurement/buyers/commodities/hiring-caterers/caterers.
Joint Venture
The university may enter into a joint venture with an outside entity for the performance of services. These
ventures are often complicated. Units must involve Procurement prior to entering into such an
agreement
.
Sponsored Project Consulting Agreements and Subcontracts
When an individual is performing services that are directly related to the science or scope of a sponsored
project, a Service Provider Evaluation must be completed to determine if the individual is an employee or
an independent contractor. If after the evaluation, the service provider is deemed to be an Independent
Contractor, a purchase order is required and a Professional Services Agreement must be completed.
Proceed to Section 701, the Service Provider Evaluation.
Note: If another organization is performing a substantive portion of the work effort based upon an
award made to Cornell, it may be necessary to formalize this relationship through the execution of a
subcontract. Such agreements are executed by the Office of Sponsored Programs (OSP). Please see
OPS website at
www.osp.cornell.edu/ for further information on subcontracts.
Buying Manual Number: 701
Subject: Purchases with Special Procedures: Paying for Services Issued: February 9, 2009
Title: Performing the Service Provider Evaluation Revised: May 27, 2022
136
Section 701
Performing the Service Provider Evaluation
The purpose of the service provider evaluation is to determine whether to appoint a service provider as
an independent contractor or as an employee paid through payroll. The IRS asserts that if Cornell
exercises control over the service provider, the individual should be appointed as an employee.
There are risks and costs associated with each classification of the service provider. For employees,
there are the employer's share of FICA tax, employee benefits, workers compensation and other
insurance coverage, overtime premiums, etc. For independent contractors, there are contract costs as
well as potential penalties and interest from the IRS and other regulatory agencies if the agency, during
its review, reclassifies the independent contractor as an employee.
The unit engaging the service provider has primary responsibility for independent contractor review.
The unit may be held financially responsible for any taxes, interest, penalties, judgments, or awards due
to misclassification.
To determine whether a service provider is an independent contractor or an employee under common
law, you must examine the relationship between the worker and the business. All evidence of control and
independence in this relationship should be considered. If Cornell exercises control over the service
provider, the individual should be appointed as an employee. The factors that provide evidence of
“control” fall into three categories – Behavioral Control, Financial Control, and the Nature of the
Relationship itself.
• Behavioral Control generally reflects that the organization exercises control over the service
provider’s activities. If Cornell provides training and/or instructions about how to complete the task,
the service provider should generally be classified as an employee. In contrast, independent
contractors determine how they will accomplish the task.
• Financial Control generally reflects that the service provider is not at risk for financial loss on a
contract because the organization provides the equipment, reimburses the business expenses and
pays on an hourly basis rather than a negotiated fee for specific deliverables.
• Relationship Control generally reflects that the service provider works primarily for the organization
and anticipates a continuing relationship. An independent contractor has a broad customer base and
is free to work when, for whom, and for as many firms as he/she chooses.
A worksheet is available to assist the unit in completing the evaluation of Behavioral Control, Financial
Control and Nature of the Relationship. See the Service Provider Evaluation Worksheet.
Procedure for Performing the Service Provider Evaluation
1. The unit engaging the service provider will send the Service Provider Questionnaire to the service
provider for completion (see the Forms section of the Procurement Services’ Website) and
request its return directly to the unit.
2. After receiving the completed Service Provider Questionnaire, the unit will complete Cornell’s
Service Provider Evaluation Worksheet to determine whether “control” over the service provider
exists, as described on the previous page. Remember to attach both the Service Provider
Questionnaire and the Service Provider Evaluation Worksheet to the requisition or I Want
document. (See the Forms section of the Procurement Services’ Website.)
Buying Manual Number: 701
Subject: Purchases with Special Procedures: Paying for Services Issued: February 9, 2009
Title: Performing the Service Provider Evaluation Revised: May 27, 2022
Section 701
137
Caution: The unit must review the service provider’s classification prior to entering into an initial
contract or renewing a contract. The unit should make its own determination and not rely on
another unit’s determination.
3. If the unit concludes that the service provider should be classified as an employee, the unit will
request appointment of the individual as an employee through the Office of Human Resources
(see your service center for further instructions).
a. The unit may engage the service provider through a temporary employment agency. Contact
the Office of Workforce Recruitment and Retention at mycareer@cornell.edu or (607) 255-
0056.
4. If the unit concludes that the service provider should be classified as an
independent contractor, the unit will:
a. Document the resolution of any conflict of interest and/or commitment identified during IC
evaluation process. See the University Policy 4.14, Conflicts of Interest and Commitment for
more information.
b. Evaluate the need for insurance. Requirements for insurance coverage are outlined in the
Section 405, Insurance Requirements section of this manual; contact Risk Management and
Insurance with questions on insurance requirements. Note: Procurement will contact the
service provider and request proof of insurance; contact Procurement to request this
assistance.
c. Determine the terms of the agreement with the service provider, such as the scope of work or
deliverables, acceptance criteria, identification of who will provide the services, etc. These
terms are most easily defined through completion of the Professional or IT Professional
Services Agreement template (see the Forms section of the Procurement Web site.)
Contact Procurement with questions on these terms, which supersede the standard terms
and conditions of Cornell’s purchase order.
d. Request the issuance of a purchase order through the SSC by submitting an I Want
document with the Service Provider Questionnaire, Service Provider Evaluation Worksheet,
conflict of interest/commitment resolution (if applicable), quote, scope of work, and either the
vendor’s or Cornell’s agreement.
Note: The Service Provider Evaluation Worksheet requires the name, title and signature of
the unit-level individual that performed the service provider evaluation.
Other Considerations with Independent Contractors:
Billing and Tax
All business expenses that the unit has agreed to pay must be submitted as a component of the vendor’s
invoice. Do not process an expense/travel reimbursement for the independent contractor. Do not submit
individual expense receipts with the invoice. In accordance with IRS regulations, the university will report
all payments to independent contractors totaling $600 or more during a calendar year on IRS form 1099-
NEC.
The independent contractor is responsible for all estimated tax payments and other tax filing
requirements; all tax records, including original business receipts; general liability and other insurance
coverage for workers who work on his/her contract with Cornell; medical insurance, personal accident
insurance, pension plan, or other benefits, whether personal or extended to his/her employees.
Buying Manual Number: 701
Subject: Purchases with Special Procedures: Paying for Services Issued: February 9, 2009
Title: Performing the Service Provider Evaluation Revised: May 27, 2022
Section 701
138
Inquiries by Government Agencies
All inquiries made directly to the unit by a government agency about independent contractors must be
directed to the Tax Manager in the University Controller’s Office. Do not respond to these inquiries at the
unit level.
Buying Manual Number: 702
Subject: Purchases with Special Procedures: Paying for Services Issued: February 9, 2009
Title: Responsibilities Related to the Payment for Services Revised: October 13, 2020
139
Section 702
Responsibilities Related to the Payment for Services
Unit Responsibilities
• Work through the Paying for Services flowchart to determine the appropriate payment method or
contract method.
• Submit completed service provider questionnaire and evaluation worksheet, if directed in
flowchart.
• Determine the terms of the agreement with the service provider, such as the scope of work or
deliverables, acceptance criteria, identification of who will provide the services, etc.
• Send contract to service provider for review, signature and return to unit for completion.
• Review, date, initial or sign the contract as required for the department on the Cornell agreement.
Do not sign the contract.
• Provide required information (as described above) with the I Want Doc to the SSC.
Shared Services Center (SSC):
• Understand and communicate policies to faculty, staff, and service providers.
• Verify that the service provider evaluation has been performed (where one must be performed,
based on the information provided in section 700) and documented by the unit, prior to requesting
payment to the service provider.
• Verify that all conflict of interest and conflict of commitment issues have been resolved and
documented by the unit.
• Ensure that independent contractors meet the university insurance requirements or complete
Risk Management’s waiver process.
• Ensure that contracts are signed by the service provider and attached to the requisition for
Procurement Services review.
• Attach the following to the requisition: Service Provider Questionnaire, Service Provider
Evaluation Worksheet, contract, quote or scope of work, signed RMI waiver form, single/sole
source justification form, IT statement of need, technology risk assessment, web accessibility, as
appropriate.
• Ensure that the procurement of services is undertaken in compliance with the policy and
procedures outlined in this manual.
Procurement Services:
• Request, review, and maintain Certificates of Insurance for service providers as appropriate
(Procurement).
• Update KFS vendor record with certificate of insurance as appropriate (SSC Procure-to-Pay).
• Receive IRS forms, supplier information forms (via manual or automated process) and proof of
insurance from vendors (SSC Procure-to-Pay).
University Tax Office:
• Provide guidance to units on IRS issues and interpretations.
Risk Management and Insurance:
• Negotiate any exceptions to the minimum necessary insurance coverage for independent
contractors.
Buying Manual Number: 802
Subject: Shipping and Receiving Procedures Issued: February 9, 2009
Title: U.S. Customs Clearance / Duty Free Entry Revised: March 1, 2012
140
Section 802
U.S. Customs Clearance / Duty Free Entry
Customs Agent
Mohawk Global Logistics has been assigned Power of Attorney to act as Cornell’s agent in expediting
and clearing shipments entering the United States. The address and contact information are as follows:
Mohawk Global Logistics
PO Box 3065
Syracuse, NY 13220-3065
Web: http://mohawkglobal.com/
Phone: 315-455-3003
Fax: 315-455-3032
Email: info@mohawkglobal.com
General Guidelines for US Custom Clearance
1. When a department orders equipment from a foreign source, the following phrases need to be
included in the requisition:
“Send equipment in bond for clearance by:
Mohawk Global Logistics
152 Air Cargo Road, Suite 303
Syracuse Hancock International Airport
North Syracuse, NY 13212
Please list “Syracuse, NY” as airport of destination on Airway bill.
2. Generally, small shipments (valued at less than $1,200) shipped via parcel post from foreign
countries can be imported without assistance of a Customs Broker.
3. If a Cornell employee purchases equipment while out of the country, the shipment should be sent
to Cornell University, Care of Mohawk Global Logistics to the address above for customs
clearance.
4. If equipment is being shipped out of the country on a temporary bass, contact Mohawk Global
Logistics prior to shipment for advice on required registration documents. This will preclude duty
assessment upon the return of goods (in original state).
5. Mohawk Global Logistics’ fee will vary based on the type of import and services required, such as
document preparation. In addition, there will be a freight charge from Syracuse to Ithaca.
6. Mohawk Global Logistics’ main office is in Syracuse, NY. The company has branches in
Rochester and Albany as well.
Duty-Free Entry
Foreign purchases made by Cornell are subject to the payment of government-imposed duty. However, on
scientific equipment, for which there is no domestic equivalent, it is possible to have duty charges waived.
The process involved in avoiding duty charges is complex and takes a substantial amount of time to
accomplish. Requests must be filed with the United States Custom Service, ATTN: Disclosure Law
Branch, Washington, DC 20229.
Because of the highly technical nature of the information required, the department should prepare the
responses with assistance from the seller of the equipment. The duty-free entry request does not need to
be made at the time an order is placed, but it is desirable. The US Customs and Border Protection Form
No. ITA-338P is available at http://ia.ita.doc.gov/sips/appform.html. When considering the purchase of
foreign-made scientific equipment, review the form in advance of placing the equipment order.
Buying Manual Number: 803
Subject: Shipping and Receiving Procedures Issued: February 9, 2009
Title: Receiving and Inspecting Shipments Revised: March 1, 2012
141
Section 803
Receiving and Inspecting Shipments
It is the responsibility of the person accepting incoming shipments to verify that the goods delivered
match the order before signing the delivery slip.
If the goods have been shipped to the wrong department and an order number is included on the
shipment, query KFS or call Procurement Services (Procurement) to identify the proper destination. It is
the responsibility of the department signing for material to arrange for delivery to the correct department.
In most cases, the trucker will deliver to the correct department if shipment has not been removed from
the truck or it is a small carton.
Inspection
Inspection of all packages or cartons at time of delivery is essential. Any apparent damage should be
noted on the delivery receipt by the carrier’s agent along with the agent’s signature. If it is necessary to
file a claim for damaged goods, the supplier should be notified within 24 hours of delivery. If damage is
discovered only after the package has been opened, refer to Receiving Procedure “Concealed Damage”
below. After inspecting the packages, all packing lists and bills of lading should be forwarded to the
individuals in the department who are responsible for recording receipts.
Freight Claims
Fast and fair settlement of claims on the receipt of damaged goods is of mutual benefit to the University
and its suppliers. The service center should ensure that the required documents are filed within ten (10)
working days by the unit and the supplier and/or carrier.
This procedure defines the types of freight claims and explains what must be done in the filing of the
claim. In all instances, the supplier must be notified within 24 hours of the discovery of the damage.
Filing Responsibility
The vendor has the responsibility for filing the freight claim if the FOB terms are "Destination".
Cornell University has the responsibility for initiating a freight claim only when the FOB terms specify
"Shipping Point". For more detailed information on FOB terms see section 803-A. If Cornell has the
responsibility for filing the claim, the Unit or service center will prepare the paperwork and contact the
carrier. If the supplier is responsible for filing, then the Unit or service center will notify the supplier of the
damaged, lost, or concealed damaged shipment and request replacement shipment.
Receipt and Inspection of Shipments
This procedure addresses three (3) types of freight claims that might be processed if Cornell has the
responsibility for filing the freight claim.
1. Damage in Transit
Damage has occurred to the shipment while it was in the possession of the freight carrier.
Damage to packages and cartons is usually readily apparent. When the shipment is received, any
damage is noted on the freight bill at time of delivery. The User Department notifies the supplier
about the damaged shipment within 24 hours. End User/Dept/SSC will contact the carrier and
begin the claim process.
2. Loss in Transit
If the supplier has shipped the merchandise to Cornell and it has not been delivered after a
"reasonable" amount of time, and the carrier is unable to locate the shipment, then the shipment
may be lost. The end user/unit must notify the supplier when they have not received a shipment
Buying Manual Number: 803
Subject: Shipping and Receiving Procedures Issued: February 9, 2009
Title: Receiving and Inspecting Shipments Revised: March 1, 2012
Section 803
142
within a "reasonable" waiting period. After confirming the supplier’s shipment date and verifying
that the carrier is unable locate the shipment, the End User/Dept/SSC will begin the claim
process.
3. Concealed Damage
Merchandise is delivered in apparently good condition and the carrier's bill of lading is signed with
no mention of damage. Damage is discovered only after the container is opened within a
"reasonable" period. End user/unit must notify the supplier immediately of the damage. The
supplier will in turn notify the carrier that a "concealed damage" claim is pending, and an
inspection is needed. All containers and contents must be kept in a safe place for inspection by
the carrier. The carrier will supply an inspection report to accompany the freight claim processed
by the End User/Dept/SSC.
Return of Goods to the Vendor
This procedure describes the correct steps to be followed when goods need to be returned to the vendor
for credit or replacement.
When defective merchandise is received from a vendor, or the received item(s) are not the item(s)
specified on the purchase order, the shipment will be subject to return to the vendor for credit.
Whenever the department needs to return merchandise to a vendor, the department needs to contact the
vendor, explain the reasons for returning the merchandise and get a “Return Authorization” number.
The department prepares the shipment for return to the vendor noting the “Return Authorization” number
on all paperwork. This number allows the vendor to identify the goods when they are received and to
correctly issue a credit.
If a replacement is desired, then the department needs to issue a new requisition/order for the
replacement.
Buying Manual Number: 803A
Subject: Shipping and Receiving Procedures Issued: February 9, 2009
Title: FOB Terms and Responsibilities Revised: March 1, 2012
143
Section 803A
Table 1Freight Terms and Responsibilities
FOB Term
Payment of
Freight
Charges
Who Bears
Freight Costs
Owns Goods
in Transit
Who Files
Claim (if any)
Explanation
FOB
Destination,
freight prepaid
*
Seller
Seller
Seller
Seller
Title passes to
Buyer when
goods are
delivered.
Seller pays
and absorbs
all freight
costs.
FOB
Destination,
freight prepaid
and added to
invoice
Seller
Buyer
Seller
Seller
Title passes to
Buyer when
goods are
delivered.
Seller pays
shipping costs
and adds the
cost to their
invoice.
FOB
Destination,
freight collect
Buyer
Buyer
Seller
Seller
Title passes to
Buyer when
goods are
delivered.
Carrier bills
Buyer for the
freight costs.
FOB Shipping
Point, freight
prepaid
Seller
Seller
Buyer
Buyer
Title passes to
Buyer at
vendor’s dock.
Seller pays and
absorbs all
freight costs.
FOB Shipping
Point, freight
prepaid and
added to
invoice
Seller
Buyer
Buyer
Buyer
Title passes to
Buyer at
vendor’s dock.
Seller pays and
absorbs all
freight costs.
FOB Shipping
Point, freight
collect
Buyer
Buyer
Buyer
Buyer
Title and control
of goods
passes to
Buyer when
carrier signs for
goods at the
vendor’s
location.
Carrier bills
Buyer directly.
* Cornell’s preferred terms
Buying Manual Number: 804
Subject: Invoice Processing Procedures Issued: February 9, 2009
Title: Invoice Payment Revised: May 15, 2020
144
Section 804
Invoice Payment
This procedure is to explain how an invoice payment is processed for the purchase of goods and/or
services. An invoice is the supplier’s notification that a charge is pending against the University. The
purchase order is the basis on which the supplier is paid for material and services furnished. The invoice
is audited against the purchase order (e.g., items, prices, quantities, terms of the purchase order).
Accounts Payable is responsible for monitoring the electronic invoice process and manually entering
invoices into KFS. As stated on the purchase order, all vendors not enrolled in electronic invoicing, are
instructed to submit invoices with purchase order reference via email to:
Cornell University
Accounts Payable
377 Pine Tree Rd.
Ithaca, NY 14850
Email: dfa-4040_invoice@cornell.edu.
Invoices received by the end user/unit must be immediately sent to Accounts Payable via email to DFA-
4040_invoice@cornell.edu or via interoffice mail to at East Hill Office Building, 377 Pine Tree Road.
Purchase order vendors may submit invoices to Accounts Payable via U.S. mail, email, or electronically
for processing in KFS. Before the invoice is paid, the fiscal officer should review and approve the
payment request.
Invoices received via U.S. Mail and email are attached to the payment request in KFS in pdf format. The
invoices may be compared to the purchase order and reviewed by the End user/unit/SSC. Invoices
submitted electronically are validated within KFS. Electronic invoices that do not pass the KFS validation
process are reviewed and corrected by Accounts Payable staff.
If the invoice is greater than $5,000, the service center must confirm physical receipt of goods and or
services with the unit and document receipt in the payment request e-doc notes and attachments section
before approving the payment per the Controller’s Guidelines for Receiving in KFS.
The end user/unit/SSC should monitor their KFS Action List daily to determine if there are any payment
requests in their queue pending approval. Please note that payment requests below $5,000 for standard
purchase orders will automatically pay within 10 business days without fiscal officer approval if positive
pay was not selected on the requisition.
Vendor Relations
Payments of invoices should not be delayed beyond the due dates as determined by the terms of the
purchase order, unless Procurement, Accounts Payable, the end user/unit/SSC, and the Supplier are
aware of extenuating circumstances that would preclude payment. Failure to pay invoices promptly
results in poor vendor relations, lost early payment discounts, interest charges, and potential credit holds.
Buying Manual Number: 805
Subject: Invoice Processing Procedures Issued: February 9, 2009
Title: Freight Bills Revised: May 15, 2020
145
Section 805
Freight Bills
Freight bills directly from freight companies are to be sent to the unit/SSC for payment. Payments should
be processed via procurement card or disbursement voucher.
Federal Interstate Commerce Commission / Department of Transportation regulations require that all
invoices for freight be paid within fifteen (15) days. Failure to comply can result in termination of carrier
service or possible court action against Cornell University. It is extremely important that all freight bills be
processed promptly.
Buying Manual Number: 806
Subject: Invoice Processing Procedures Issued: February 9, 2009
Title: Capital Equipment Revised: March 1, 2012
146
Section 806
Capital Equipment
According to University Policy 3.9, Capital Assets, a capital asset is an item that has a useful life of at
least two years and a value of at least $5,000. Capital assets are permanent, tangible, and held for
purposes other than investment or resale. Please refer to the Capital Assets policy for further
specifications and definitions.
Resources:
•
Accounting Services Web site: https://www.finance.cornell.edu/accounting/about/contact
• Standard Operating Procedures
•
Capital Assets Overview
https://confluence.cornell.edu/download/attachments/134217922/Cap+Assets+Overview.pdf
• Capital Edit tab, Financial Processing
https://confluence.cornell.edu/download/attachments/134217922/SOP+Capital+Edit+tab+Fin
ancial+Processing.pdf
• Capital Edit tab, Purchasing
https://confluence.cornell.edu/download/attachments/134217922/SOP+Capital+Edit+tab+RE
QS+PCDO.pdf
Buying Manual Number: 900
Subject: Quick Reference and Forms Issued: February 9, 2009
Title: Forms Revised: February 17, 2021
147
Section 900
Forms
Forms referred to in this manual may be found online at:
• Single/Sole Source Justification Form: http://www.finance.cornell.edu/procurement/tools-
forms/forms/source-justification
• Bid Solicitation: http://www.finance.cornell.edu/procurement/tools-forms/forms/bid-solicitation
• Cornell Use of Names, Logos and Artwork on Manufactured Items Form:
https://brand.cornell.edu/
• New York State Restricted Period Supplier Contact:
https://www.finance.cornell.edu/procurement/tools-forms/forms/nys-supplier-contact
• Service Provider Questionnaire: https://www.finance.cornell.edu/sites/default/files/service-
provider-questionnaire.pdf
• Service Provider Evaluation Worksheet:
https://www.finance.cornell.edu/sites/default/files/service-provider-evaluation-worksheet.pdf
Contracts for Services referred to in this manual may be found online:
Consulting Agreements:
• Professional Services Agreement:
http://www.finance.cornell.edu/sites/default/files/prof-services-agrmt.pdf
• IT Professional Services Agreement:
http://www.finance.cornell.edu/sites/default/files/it-prof-services-agrmt.pdf
• Amendment to Professional Services Agreement:
http://www.finance.cornell.edu/sites/default/files/prof-services-amendment.pdf
Unique Contracts for Services:
• Executive Search Firm Agreement Template:
https://www.finance.cornell.edu/sites/default/files/search-firm-agreement.doc
Buying Manual Number: 901
Subject: Quick Reference and Forms Issued: June 10, 2009
Title: Acronyms Revised: September 15, 2023
148
Section 901
Acronyms that are used throughout the Buying Manual
Acronym
Name
ACH
Automated Clearing House
APO
Automatic purchase order
CFO
Chief Financial Officer
DFS
Division of Financial Services
EHS
Environment, Health and Safety
End User/Unit/SSC
End user / Unit / Shared Services Center
E&I
Educational & Institutional Cooperative Purchasing
FOB
Free on board
GSA
General Services Administration
ID
Identification
IFB
Invitation for bid
KFS
Kuali Financial System
MMCAP
Minnesota Multistate Contracting Alliance for Pharmacy
PDF
Portable document file
PO
Purchase order
POA
Purchase order amendment
PSA
Preferred Supplier Agreement
REQ(S)
Requisition
RFI
Request for Information
RFQ
Request for Quotation
RFP
Request for Proposal
SSC
Shared Services Center
VP
Vice President
Buying Manual Number: 903
Subject: Quick Reference and Forms Issued: June 10, 2009
Title: Definitions and Contacts Revised: September 15, 2023
149
Section 903
Definitions
Term
Definition
Agreement
See definition of Contract below.
Automatic Purchase Order
(APO)
A method of ordering that offers units the option to release orders with a total
cost below the bid limit directly to the vendors, when the order has met a
predetermined set of criteria.
Bid
A request for competitive quotation or proposal from a qualified vendor for the
purpose of issuing a purchase order and contract for the procurement of goods
or services.
Bid Specifications
A detailed description of the services, equipment and products describing what
is to be accomplished and the level of detail needed for success.
Blocked Vendor
A vendor whose merchant category code has been restricted from use with a
university procurement card.
Business Expense
An ordinary, necessary, and reasonable charge for goods or services, whether
paid, committed, or accrued, that foster or supports the ongoing missions of
the university. These charges may include expenses (expenditures), debt
service payments, and capital outlays.
Business Meal
A meal at which a substantive and bona fide business discussion, linked to the
university’s mission, takes place.
Business Purpose
The way in which a particular good or service supports the university’s mission
of education, research and public service; this is an essential component of
documentation and should be in language that an external reviewer could
easily understand.
Shared Service Center
(SSC)
Financial transaction processing center approved by the Vice President for
Financial Affairs. See University Policy 4.2, Transaction Authority and
Payment Approval.
Cardholder, Shared
Service Center
An individual employed in an SSC who has been authorized to make a
procurement card purchase at higher dollar limits than a regular cardholder.
Cardholder, Regular
An individual who has been authorized by his or her unit to use a university
procurement card.
Catering
Catering occurs when a vendor prepares, sets up, serves or cleans up food on
Cornell controlled property, including both facilities owned by Cornell and
facilities that may be rented or leased and only under Cornell’s control for the
period of the event (i.e., rental of a banquet hall.) Catering should not be
confused with simple delivery, where no service is provided on site (i.e., “pizza
delivery”.)
Competitive Bid
A process used to have more than one vendor provide a price for the same
item. The primary purpose of competitive bidding is to insure and demonstrate
that funding is being responsibly spent and equal opportunities are being
extended.
Concealed Damage
Carton intact, but material damaged.
Conflict of Commitment
A situation in which an employee's additional employment, whether internal or
external to the university, interferes with his or her performance in the primary
appointment at the university.
Buying Manual Number: 903
Subject: Quick Reference and Forms Issued: June 10, 2009
Title: Definitions and Contacts Revised: September 15, 2023
Section 903
150
Term
Definition
Conflict of Interest
A situation in which an individual or any of his or her family or associates either
1) has an existing or potential financial or other material interest that impairs or
might appear to impair the individual's independence and objectivity of
judgment in the discharge of responsibilities to the university, or 2) may
receive a financial or other material benefit from knowledge of information
confidential to the university. Refer to University Policy 4.14, Conflicts of
Interest and Commitment.
Contract
A contract is an agreement between two or more parties describing terms and
conditions.
Cornell Allowable Expense
A valid and legal business expense for which the use of university funds will be
permitted.
Cornell Unallowable
Expense
An expense or item for which use of university funds will not be permitted.
Cornell University Vendor
A Cornell unit that sells goods or services.
Default Account
The general ledger account associated with a procurement card that is
charged automatically for transactions when a coordinator does not change
the account distribution in KFS.
Small Business
Administration
A federal program that encourages the engagement of entities that are
federally recognized as being “small, disadvantaged business enterprises.”
Documentation
Original invoice, copy of cancelled check, original credit card receipt when
applicable, and other documentation that describes and substantiates a
business transaction.
Emergency Situation
The occurrence of an unanticipated and sudden situation that is life
threatening,
catastrophic in nature, or involves pressing necessity for immediate repairs,
reconstruction, or maintenance to permit the safe continuation of a necessary
use or function, or to protect the property or the life, health, or safety of any
person.
Employee
A person appointed through the Office of Human Resources and paid through
payroll to perform services for the university. The university controls and
directs the service provider's activities.
e-Procurement
The use of electronic systems to purchase goods, works and services and to
process payments from third parties. Cornell’s e-procurement system is
named e-SHOP.
e-SHOP
Cornell’s branded e-procurement system, which allows the units to procure
goods and services from a wide variety of pre-selected suppliers through the
KFS main menu Shop Catalogs
FOB (Free on Board)
The point of delivery where title of goods transfers from the vendor to Cornell
University.
Family Member
A spouse, sibling, parent, grandparent, ancestor, child, or grandchild, or any of
their respective spouses.
Financial Institution
The bank issuing procurement cards to Cornell University.
Buying Manual Number: 903
Subject: Quick Reference and Forms Issued: June 10, 2009
Title: Definitions and Contacts Revised: September 15, 2023
Section 903
151
Term
Definition
Foreign National
An individual who is not a citizen of the United States and does not have a
permanent resident status or an entity that does not have a place of business
or an office in the United States.
Goods
Tangible property for sale, lease, or rental (also known as merchandise, or
commodity.)
Honorarium
A payment made in appreciation, primarily intended to confer distinction or to
symbolize respect, which is not required by law, and is not a fee charged by
the recipient.
Human Participant Fees
A payment to a participant in a study conducted by a Cornell faculty, staff or
student; (includes fees for research subjects, survey participants, etc.)
Inactive Procurement Card
A procurement card account that has not been used in the preceding 12
months.
Independent Contractor
An individual or entity engaged to perform services and commonly referred to
as a consultant, freelancer, contractor, etc. The service provider is responsible
for the means and methods for completing the job based on specifications in
the contract. The service provider is not supervised or controlled by Cornell
employees.
IRS Form 1099 MISC
A form used to report to the IRS and the taxpayer various types of payment
including non-employee compensation to independent contractors.
Joint Venture
An agreement between Cornell University and another organization to
exchange resources, share risks, or divide rewards from a combined
enterprise.
Journal
Internal transfer of funds between general ledger accounts.
Memorandum of
Understanding (MOU) for
Spend Delegation
An informal, written record containing the terms of a transaction or agreement
signed between Procurement Services and one or more other unit(s) of Cornell
University.
Ordinary, Necessary and
Reasonable Expense
An expense is ordinary if it is normal and customary. An expense is necessary
if it is appropriate and helpful to the business. An expense is reasonable if a
prudent person would incur the expense in similar circumstances.
Payment Approval
Authority to process a payment from a university account, and to certify that
appropriate funds are available. Note: payment approval does not constitute
transaction authority. See
University Policy 4.2, Transaction Authority and
Payment Approval.
Personal Expense
Any expense for a good or service that does not qualify as a business
expense.
Preferred Supplier
A supplier with which Procurement Services has competitively bid and
implemented a university-wide agreement, and that Procurement Services
endorses as the “best overall value” in providing products, services, delivery,
and customer service.
Procurement Agent/
Contract Manager
An individual who is part of a procurement organization at Cornell and has
been given transaction authority by the head of the procurement function to
negotiate, authorize, and execute contracts on behalf of Cornell University.
Examples include, but are not limited to, Cornell Store buyers and Office of
Sponsored Programs (OSP) grant and contract officers.
Buying Manual Number: 903
Subject: Quick Reference and Forms Issued: June 10, 2009
Title: Definitions and Contacts Revised: September 15, 2023
Section 903
152
Term
Definition
Procurement Card (pcard)
A credit card issued by a financial institution to Cornell University to make
purchases directly from vendors. The individual named on the card is
authorized to make certain business purchases on behalf of Cornell University,
and the bill is paid directly by the university.
Procurement Card
Coordinator
The individual within your service center with knowledge of appropriate
financial, purchasing, and accounting policies, who has specific
responsibilities, as defined in this policy, and overall responsibility for the unit’s
pcard program.
Prohibited Transaction
Any good or service listed in the Procurement Card section of this manual
(including Personal Expenses and Cornell Unallowable), and split transactions,
that may not be paid for via pcard.
Purchase Order (PO)
A legally binding contract for purchase between the university and the vendor.
Recurring Order
A purchase order for a defined period, frequently used for repetitive purchases,
with a “not to exceed” dollar amount specified.
RFI (Request for
Information)
A solicitation for information about a service or product; used when a clearly
defined scope of work or specification is not available.
RFP (Request for
Proposal)
A solicitation used to acquire goods and/or services when a clearly defined
scope of work or specification is available.
RFQ (Request for
Quotation)
A solicitation for a price for a specific item or service.
Receipt
A written acknowledgment that something has been received, which,
generally, details the date of purchase, vendor name and address, description
of goods and services, quantity, unit price, and total of expenditures.
Revocation of Card
The cancellation of a procurement card.
Risk Management and
Insurance
A department responsible for procuring all institutional insurance, processing
claims where applicable, establishing appropriate levels of insurance for
suppliers (especially those working on campus).
Scope of work
A detailed description of the product or service being requested.
Service Provider
An individual or entity engaged to perform a service.
Service Recipient
The unit of Cornell University receiving services.
Service
An activity in which labor is the major factor and not merely incidental to the
production, acquisition, and/or delivery of a good. Examples of services
include hay delivery, catering, equipment repair, and web site design.
Single Source/Sole Source
Where competition may not be feasible due to the single source/sole source
nature of a commodity or a particular specification.
Spend
An act of using funds to purchase goods or services, or the funds spent by a
unit through its procurement processes.
Split Transaction
Multiple payments for a single item (whether a good or service) to evade the
maximum pcard per-transaction limit or bidding threshold requirements.
Sponsored Project
A signed award (grant, contract, or cooperative agreement) under which the
university agrees to perform a certain scope of work for an external sponsor.
Buying Manual Number: 903
Subject: Quick Reference and Forms Issued: June 10, 2009
Title: Definitions and Contacts Revised: September 15, 2023
Section 903
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Term
Definition
Sponsored Project
Consulting Agreement
A written agreement between the university and an independent contractor to
provide highly specialized professional services directly related to the science
and or scope of the sponsored project. A Sponsored Project Consulting
Agreement is usually for a relatively short duration (less than one year).
Subcontract
A written agreement between Cornell University and a third party, often issued
under a sponsored project, to procure "substantive programmatic effort.” A
subcontract generally involves services over a relatively long period (one year
or more).
Subcontractor
An individual, business, or other third party engaged, often under a sponsored
project agreement, to provide services that contribute "substantive
programmatic effort" to the project.
Sufficient Documentary
Evidence
Information and documentation that, when taken as a whole, substantiates an
expense and its business purpose. Sufficient documentation should include
who, what, when, where, why, and how much.
Supervisor
The individual with primary responsibility for the regular and customary
supervision of individual positions. Generally, the supervisory duties include
hiring, salary, discipline, performance evaluation, and work assignment
decisions.
Supplier
See definition of Vendor below.
Suspension of Card
Removal of the procurement card holder’s privilege to use the pcard for a
specific period of time.
Terms and Conditions
Stand-alone clauses that define the understanding between Cornell University
and the vendor.
Transaction
Any event that involves an exchange of funds between two parties. Examples
are paying a bill to a vendor, collecting a fee from a student, and making an
interdepartmental charge. Also, a single debit or credit to a procurement card.
Transaction Authority
The authority to administer, approve, and execute transactions or agreements
with external parties that commit the university. See University Policy 4.2,
Transaction Authority and Payment Approval.
Unit
A college, department, program, research center, financial transaction center,
accounting service center, or other operating unit.
University Funds
All funds received from internal or external sources and owned by the
university, which carry with them fiduciary responsibilities. This includes, but is
not limited to, discretionary funds, funds from salary recovery, restricted gifts,
tuition paid by students, and funds from other sources.
UNSPSC
United Nations Standard Products and Services Code are 8-digit numeric
classification codes that describe individual products and services.
Vendor
An individual or organization that provides specified and agreed upon goods
and/or services to the university. May be used interchangeably with “supplier.”
W-9
An IRS form used to request taxpayer identification number.
Buying Manual Number: 903
Subject: Quick Reference and Forms Issued: June 10, 2009
Title: Definitions and Contacts Revised: September 15, 2023
Section 903
154
Contacts
Subject
Contact
Telephone
URL/Email
Audit Services
University Audit
Office
(607) 255-9300
audit@cornell.edu
http://audit.cornell.edu
Capital Assets
Cost and Capital
Assets
(607) 255-9368
uco-capasset@cornell.edu
Contract Interpretation
Office of the
University
Counsel
(607) 255-5124
Counsel-web@cornell.edu
http://counsel.cornell.edu/
Cornell Name and Logo,
Use of
Division of
University
Communications
(607) 255-9929
www.sao.cornell.edu/SO/logo.php
Emergency Order
Procurement
Services
(607) 255-3804
http://procurement.cornell.edu/
procure.support@cornell.edu
Employment Services
Office of Human
Resources
(607) 254-8370
www.ohr.cornell.edu/hr/organization/rec/index.html
employment_svcs-mailbox@cornell.edu
Health and Safety
Concerns
Environment,
Health and
Safety
(607) 255-8200
dehs@cornell.edu
www.ehs.cornell.edu
Independent Contractor -
Initial Inquiries/General
Questions
Unit HR
Representative/
Financial
Administrator
Unit-specific
Independent Contractor
vs. Employee,
Classification of
Office of Tax
Compliance
(607) 254-4670
tax@cornell.edu
Independent Contractor,
Insurance Questions
Risk
Management and
Insurance
Procurement
Services
(607) 254-1575
(607) 255-3804
http://procurement.cornell.edu/
procure.support@cornell.edu
IRS or Other Taxing
Agencies, Inquiries from
Office of Tax
Compliance
(607) 254-4670
tax@cornell.edu
Legal Services
Office of the
University
Counsel
(607) 255-5124
Counsel-web@cornell.edu
http://counsel.cornell.edu/
New York State Funds,
Procurement
Procurement
Services
(607) 255-3804
http://procurement.cornell.edu/
Buying Manual Number: 903
Subject: Quick Reference and Forms Issued: June 10, 2009
Title: Definitions and Contacts Revised: September 15, 2023
Section 903
155
Subject
Contact
Telephone
URL/Email
procure.support@cornell.edu
Payment Processing
Accounts
Payable
(607) 255-0867
(607) 255-0869
uco-accts-pay@cornell.edu
Disbursement Voucher
Disbursement
Review
(607) 255-8179
(607) 255-0871
www.payments.cornell.edu/
drat@cornell.edu
Real Estate
Services/Procurement of
Real Estate
Real Estate
Department
(607) 266-7866
www.re.cornel.edu
Services, Contracting for
(General/First Inquiries)
Procurement
Services
(607) 255-3804
http://procurement.cornell.edu/
procure.support@cornell.edu
Service Center
Shared Services
Center
shared-services-center@cornell.edu
Small Business Liaison
Procurement
Services
(607) 255-3804
http://procurement.cornell.edu/
procure.support@cornell.edu
Sponsored Programs,
Consulting Agreements
and Subcontracts
Office of
Sponsored
Programs
(607) 255-5014
cu_subawds@cornell.edu
Tax Reporting,
Independent Contractor
University Tax
Office
(607) 254-4670
tax@cornell.edu
Transaction Authority
Division of
Financial
Services
(607) 255-4242
www.finance.cornell.edu
Travel Services,
Procurement of
Procurement
Services
(607) 255-3804
www.travel.cornell.edu/
procure.support@cornell.edu
Treasury and Banking
Services, Procurement of
Office of the
Treasurer
(607) 254-1590
www.treasury.cornell.edu
Unauthorized Purchases
Procurement
Services
(607) 255-3804
http://procurement.cornell.edu/
procure.support@cornell.edu
Buying Manual Number: 903
Subject: Quick Reference and Forms Issued: June 10, 2009
Title: Definitions and Contacts Revised: September 15, 2023
Section 903
156
INDEX
1099 MISC ..................................................... 153
Access to KFS ................................................ 67
Accounts Payable .......................................... 157
ACH ............................................13, 67, 105, 150
Advertising ..................................................... 15
Agreement ............................. 138, 140, 148, 151
Airfare ......................................................... 24, 50
Ambulance services ...................................... 15
Amtrak .............................................................. 24
Animals ....................................................... 3, 35
Approval ........................................... 2, 13, 69, 89
APPS ................................... 59, 67, 89, 145, 152
APPS System Instructions .. 59, 67, 89, 145, 152
Architectural Services ...................................... 13
Artist ........................................................ 86, 133
Artwork ......................................3, 101, 104, 148
Association for the Assessment and
Accreditation of Laboratory Animal Care
International ................................................. 92
Athletic Event Official ....................................... 15
Award ............................................................... 15
Banking .......................................................... 157
Behavioral Control .......................................... 137
Benefits Services ............................................. 13
Bid ........................................... 2, 71, 73, 74, 151
Bid Limits ........................................................ 67
Bid Requirements ....................................... 71, 73
Bid Solicitations ................................................ 71
Bid Specifications ........................................... 151
Bid Thresholds ................................................. 71
Bid, Competitive ............................................. 151
Bid, Exemptions ............................................... 72
Bid, Request for Information .................... 74, 154
Bid, Request for Proposal ........................ 73, 154
Bid, Solicitation ................................................... 2
Billing .............................................................. 138
Blanket Order ................................................. 154
Books .............................................................. 19
Bus ............................................................. 24, 50
business expense ............. 5, 6, 14, 20, 152, 153
Business Expense 2, 5, 6, 14, 16, 24, 32, 36, 57,
151, 152, 153
Business Meal ................................................ 151
Business Purpose .......................................... 151
Business Service Center .................. 58, 140, 151
Business Travel ...................................... 2, 24, 35
Cancellations .................................................... 70
Capital Assets ......................... 35, 117, 147, 156
Capital Equipment ...................................... 3, 147
Capital Project .................................................. 13
Catering ........................ 35, 51, 52, 73, 134, 151
CERCLA ........................................................... 95
Code of Ethics .................................................... 8
Concealed Damage ....................... 142, 143, 151
Conference ................................................ 24, 40
Conflict ......................................... 7, 36, 151, 152
Conflict of Commitment ................................. 151
Conflict of Interest ................................ 7, 36, 152
Construction ..................................................... 13
Construction Contracts .................................... 13
Consulting ...................................................... 157
Consulting Agreements ......................... 135, 157
Contacts .................................................... 3, 156
contract ... 5, 9, 13, 15, 16, 21, 24, 26, 35, 39, 43,
49, 50, 51, 52, 53, 54, 59, 67, 68, 73, 74, 81,
84, 85, 96, 102, 105, 107, 131, 132, 133, 137,
138, 140, 148, 151, 152, 153, 154
Contract ..................... 13, 84, 131, 151, 152, 156
Contract Review ............................................... 84
Contract suppliers .............................................. 9
Contracts for Services .............. 3, 85, 132, 148
Cornell Asset Transfer System ...................... 117
Cornell Logo ........................................... 101, 110
Cornell Name ............................................. 3, 156
Cornell Sustainable Campus ......................... 116
Cornell University Press ......................... 3, 105
corporate travel card ............................ 24, 33, 51
Creating a Purchase Order ................................ 2
Decision Flowchart........................................... 12
Default Account .............................................. 152
department charge ........................................... 11
Deposits .......................................................... 36
Direct Payment, Architectural & Engineering
Services ....................................................... 13
Direct Payment, Construction Contracts ......... 13
Direct Payment, Energy and energy related
financial instruments .................................... 13
Direct Payment, Insurance ... 13, 37, 79, 81, 131,
138, 140, 156
Direct Payment, Investments ........................... 13
Direct Payment, Legal services ....................... 13
Direct Payment, Real estate ............................ 13
Direct Payment, Treasury services/Debt/Banking
..................................................................... 13
disbursement voucher 5, 10, 11, 13, 26, 105, 146
Disbursement Voucher . 2, 11, 13, 15, 22, 27, 29,
49
Disposal ..................................................... 3, 100
Diverse ................................................ 9, 72, 115
Diverse suppliers ............................................... 9
Documentation ..................................... 2, 57, 152
domestic ............................................. 28, 31, 141
Domestic ........................................ 28, 29, 30, 50
Donations ....................................................... 15
Buying Manual Number: 904
Subject: Quick Reference and Forms Issued: June 10, 2009
Title: Index Revised: May 10, 2016
Section 904
157
Drug Enforcement Administration .................... 91
Dues ................................................................. 16
Editing ............................................................. 86
EHS ............................................................ 89, 90
Emergency Order ............................... 73, 89, 156
Emergency Situation ...................................... 152
Employee ............................................... 152, 156
Employees .................................... 2, 7, 8, 22, 24
employment agencies .................................... 21
Employment Services .................................... 156
Energy .................................................... 3, 13, 96
Energy Procurement .................................... 3, 96
Energy Star ................................................ 82, 83
Engineering Services ....................................... 35
Entertainment ....................................... 7, 16, 140
Entry Permits ................................................ 2, 88
Environmental Health and Safety (see also
EHS) ................................. 89, 90, 94, 95, 156
EPEAT .............................................................. 82
e-Procurement (see also e-SHOP) ................ 152
Equipment ............................................ 3, 89, 100
e-SHOP .... 2, 5, 9, 15, 26, 36, 67, 68, 69, 70, 75,
76, 77, 82, 89, 152
e-SHOP (see also e-Procurement) . 5, 11, 14, 32,
36, 75, 76, 152
Ethyl Alcohol ................................................ 2, 87
Event Space Rental ............................. 51, 52, 73
Executed Contract, Athletic Event Official ....... 15
Executed Contract, Entertainment ............. 7, 140
Executed Contract, Translator ......................... 19
Export Controls ........................................ 3, 106
Family Member .............................................. 152
Fellowship ....................................................... 20
Film rental ....................................................... 16
Financial Control ............................................ 137
Financial Institution ........................................ 152
FOB (see also Terms and Conditions) ...... 3, 142,
144
Food for Resale .............................................. 16
foreign .......................... 19, 28, 30, 54, 106, 141
Foreign ................................... 30, 106, 141, 153
Foreign National ............................................. 153
Forest Stewardship Council ............................. 82
Forms ........................................3, 137, 138, 148
Free on Board (see also FOB) ....................... 152
Freight Bills .......................................... 3, 16, 146
Freight Claims ............................................ 3, 142
Fume Hoods ................................................. 2, 90
Gift .................................................................... 16
Gifts .............................................................. 7, 37
Goods ........................ 2, 4, 5, 8, 11, 36, 144, 153
Graphic Design ............................... 86, 133, 148
Graphics Procurement ................................... 110
Green Seal ....................................................... 82
Guest Lecturer ................................................ 16
Health and Safety ............................ 94, 150, 156
Herbert F. Johnson Museum of Art ........ 3, 104
Honoraria ......................................................... 18
Honorarium .................................................... 153
Human Participant Fees .......................... 19, 153
Human Resources Recruiting Services ...... 73
Illustrator ................................................ 86, 133
Inactive Procurement Card ............................ 153
Independent Consultant ................................. 148
independent contractor ..... 15, 52, 129, 135, 137,
138, 155
Independent Contractor ................................. 137
Independent Contractor (see also Independent
Consultant) ................ 138, 140, 153, 156, 157
Independent Contractor/Consultant
agreement ................................................ 133
Inspection of Shipments ................................ 142
Insurance Requirements .. 2, 13, 37, 79, 80, 81,
131, 138, 140, 156
Internal Borrowing .......................................... 114
Investments ...................................................... 13
Invoice Payment ........................................ 3, 145
Invoice Processing ..................................... 3, 145
IRS Form .................................... 28, 30, 105, 153
Item Receiving ................................................. 69
Joint Venture .......................................... 135, 153
Journal ........................................................... 153
Lab Animals ..................................................... 92
Laminar Flow ............................................... 2, 90
Lease ............................................................. 113
Lease. External ............................................. 113
Legal and Ethical Conduct ............................. 7, 8
Legal Services ......................................... 37, 156
License ............................................................ 20
Life Cycle Cost Analysis .................................. 82
Limousine ....................................................... 50
Liquor for Resale ........................................... 19
Local ............................................................ 9, 72
Local suppliers ................................................... 9
Lodging ...................................................... 25, 50
Logo Approval ................................................ 110
Magazines ....................................................... 19
Meals ............................................................... 40
Medical Services ............................................ 37
Memberships .................................................. 16
Memorandum of Understanding ...................... 11
MOU ........................................................... 11, 72
MOU (see also Memorandum of Understanding)
............................................................. 72, 153
Narcotics ...................................................... 2, 91
New York State Appropriated ........................ 102
New York State Appropriated Funds ............. 102
New York State Contracts ............................... 72
New York State Preferred Sources ................ 102
NFPA ............................................................... 95
Buying Manual Number: 904
Subject: Quick Reference and Forms Issued: June 10, 2009
Title: Index Revised: May 10, 2016
Section 904
158
Non-taxable Payments, Petty Cash
Replenishment ............................................. 19
Non-taxable Payments, Postage ..................... 19
Non-taxable Payments, Refunds ..................... 20
Non-taxable Payments, Taxes ......................... 21
Novelty ........................................................... 110
Partial Payments ............................................ 36
Paying for Purchase Orders ............................. 70
Payment . 2, 3, 11, 13, 15, 21, 22, 24, 50, 51, 78,
140, 144, 151, 153, 155, 157
Payment Approval ................... 13, 151, 153, 155
Payment Method ................................................ 2
Payment Methods, Checks .............................. 22
Payment Methods, Direct Pay ......... 2, 13, 15, 22
Payment Methods, Reimbursement ........... 20, 24
Payment Request System ........................ 13, 157
pcard .... 5, 10, 11, 14, 15, 16, 19, 21, 32, 33, 34,
35, 36, 37, 38, 39, 40, 42, 43, 44, 45, 49, 50,
51, 52, 53, 54, 57, 58, 59, 60, 63, 64, 76, 154,
155
PCard .................... 32, 41, 42, 44, 49, 53, 57, 59
pcard (see also Procurement Card) 2, 14, 41, 42,
44, 45, 58, 59, 64, 154
pcard, Account Closure ........................ 45, 59, 64
pcard, Blocked Vendor ................................... 151
pcard, Cardholder .............................. 54, 57, 151
pcard, Documentation .......................... 2, 57, 152
pcard, Eligibility ............................................ 2, 33
pcard, Inactive ................................................ 153
pcard, Lost ........................................... 44, 45, 64
pcard, Prohibited Transactions ..2, 14, 34, 35, 57
pcard, Revocation .......................................... 154
pcard, Split Transaction ................................. 154
pcard, Stolen ........................................ 44, 45, 64
pcard, Suspension of Card ............................. 155
pcard, Threshold .............................................. 33
Performer ................... 20, 85, 86, 132, 140, 148
Periodical ........................................................ 19
Permission Fees ............................................. 21
Permit .............................................................. 20
Personal Expense ............................ 38, 153, 154
Pest Control .................................................... 38
Petty Cash ...................................... 19, 27, 29, 31
Photographer .......................................... 86, 133
PO .... 2, 5, 10, 11, 27, 28, 30, 31, 49, 67, 68, 69,
70, 150, 154
PO Amendments ........................................ 69, 70
Poison Inhalation Hazards ........................... 3, 95
Postage ............................................................ 19
preferred supplier .......................6, 9, 10, 72, 113
Preferred Supplier .......................... 5, 38, 72, 153
Preferred Supplier Agreements ....................... 72
Preferred suppliers ............................................. 9
procurement card ... 5, 11, 14, 15, 16, 19, 21, 24,
32, 33, 35, 36, 37, 38, 40, 41, 42, 43, 44, 45,
49, 57, 58, 59, 60, 64, 89, 151, 152, 153, 154,
155
Procurement Card (see also pcard) 2, 14, 41, 42,
44, 45, 58, 59, 64, 154
Procurment Card Coordinator .................. 58, 154
Professional Organizations .............................. 16
Professional Services agreement .............. 133
Progress Payments.......................................... 69
Prohibited Transactions ............. 2, 14, 34, 35, 57
Proof of Insurance ......................................... 79
Public Utilities ................................................... 20
purchase order .. 5, 10, 11, 14, 15, 21, 30, 31, 32,
49, 51, 52, 53, 67, 69, 70, 73, 74, 76, 85, 103,
104, 105, 113, 131, 134, 135, 145, 150
Purchase Order ... 2, 5, 11, 13, 14, 24, 27, 30, 32,
34, 49, 67, 69, 70, 78, 81, 89, 104, 138, 140,
143, 145, 151, 154
Purchase Order Process ....................... 2, 34, 72
Purchase Order Types ....... 73, 89, 151, 154, 156
Purchasing Agent .. 10, 67, 72, 73, 74, 81, 84, 85,
89, 153
R5 Operations ................................................ 117
Radiation Safety ......................................... 38, 89
Radioactive Materials .................................. 2, 38
Real Estate ........................................ 13, 38, 157
receipt ..... 32, 41, 42, 44, 51, 57, 59, 63, 69, 142,
145, 152
Receipt ........................................................... 154
Receiving ................................................... 3, 142
Receiving, Concealed Damage ..... 142, 143, 151
Receiving, Damage in Transit ........................ 142
Receiving, Inspecting Shipments ............... 3, 142
Receiving, Loss in Transit .............................. 142
Receiving, Return of Goods to the Vendor .... 143
Receiving, U.S. Customs Clearance ......... 3, 141
Recycled Products ........................................... 72
Recycling ................................................... 3, 100
Refund ................................................. 27, 29, 31
Refunds ............................................................ 20
Registration .................................................... 21
Reimbursement ........................ 20, 21, 24, 29, 31
Rental Cars ...................................................... 25
Request for Information (see also RFI) ... 74, 154
Request for Proposal (see also RFP) ...... 73, 154
Request for Quotation .............................. 73, 154
Requirements for Initialing and Signing
Contracts ..................................................... 85
Respiratory and Hearing Protection ............. 3, 94
Responsibilities .. 3, 24, 31, 57, 67, 74, 84, 106,
107, 109, 140
Restaurant ...................................................... 52
Restaurants .................................................... 21
RFI (see also Request for Information).... 73, 154
RFP (see also Request for Proposal) . 72, 73, 74,
154
Buying Manual Number: 904
Subject: Quick Reference and Forms Issued: June 10, 2009
Title: Index Revised: May 10, 2016
Section 904
159
RFQ (see also Request for Quote) .......... 73, 154
Risk Management .. 13, 37, 79, 81, 84, 131, 138,
140, 154, 156
Royalties ........................................................... 21
Search Firm Agreement ....................... 133, 149
Security Systems ........................................... 38
Service 2, 3, 4, 5, 8, 9, 10, 11, 13, 24, 35, 36, 37,
38, 67, 71, 73, 80, 99, 110, 129, 131, 135,
137, 138, 140, 141, 148, 153, 154, 156, 157
service provider .... 15, 19, 21, 22, 39, 53, 54, 73,
79, 105, 129, 131, 135, 137, 138, 140, 152,
153
Service Provider 3, 129, 131, 137, 138, 140, 148,
154
Service Provider attestation ........................... 132
Service Provider Evaluation ............... 3, 137, 148
Service Provider Evaluation Worksheet ... 137,
138, 140, 148
Service Provider Questionnaire . 137, 138, 148
Service Recipient ........................................... 154
Shipping ............................................. 3, 142, 144
Shipping, Duty Free Entry .......................... 3, 141
Shipping, Free on Board .................... 3, 142, 144
Sign Program ................................................... 99
Signs ............................................................ 3, 99
Single Source ..................................... 72, 74, 154
Single Source/Sole Source .............................. 72
Small Business ........................ 72, 115, 152, 157
Small Disadvantaged Business ..................... 115
Small Services Provider contract ....... 132, 140
Software ............................................................ 3
Sole Source ................................72, 74, 148, 154
Solicitation .......................................................... 2
Special Procedures ................. 2, 3, 5, 35, 67, 80
Special Procedures, Energy Procurement ... 3, 96
Special Procedures, Entry Permits .............. 2, 88
Special Procedures, Ethyl Alcohol ............... 2, 87
Special Procedures, Fume Hoods ............... 2, 90
Special Procedures, Lab Animals .................... 92
Special Procedures, Laminar Flow .............. 2, 90
Special Procedures, Narcotics ..................... 2, 91
Special Procedures, Poison Inhalation Hazards
................................................................. 3, 95
Special Procedures, Radiation Safety ....... 38, 89
Special Procedures, Radioactive Materials . 2, 38
Special Procedures, Recycling .................. 3, 100
Special Procedures, Respiratory and Hearing
Protection ................................................. 3, 94
Special Procedures, Signs ........................... 3, 99
Special Procedures, Subcontractor ............... 155
Special Procedures, Use of Cornell Logo, Name
& Insignia ...............................3, 101, 110, 156
Specialized Services ........................................ 13
Spend ..................................................... 153, 154
Spend Viz ..................................................... 5, 26
Sponsored Funds .............................. 3, 50, 103
Sponsored Programs .. 13, 78, 79, 103, 106, 107,
136, 153, 157
Sponsored Project ......................... 135, 154, 155
Sponsored Project Consulting ............... 135, 155
State Contract .......................................... 72, 102
Students .................................................... 15, 22
Subcontract .................................................... 155
Subscriptions ................................................. 19
Sufficient Documentary Evidence .................. 155
Supervisor ................................................ 59, 155
Supplier .................... 7, 38, 71, 78, 140, 145, 155
supplier utilization hierarchy .......................... 5, 9
Surplus Program ............................................ 117
Sustainable Forestry Initiative .......................... 82
Sustainable Purchasing ............................ 2, 82
Tax ..................... 13, 21, 138, 139, 140, 156, 157
Taxable Payments, Award ............................... 15
Taxable Payments, Gift ................................... 16
Taxable Payments, Honoraria ......................... 18
Taxable Payments, Human Participant Fees . 19,
153
Taxable Payments, Prize ................................. 20
Taxable Payments, Royalties/Permission Fees
..................................................................... 21
taxi ............................................................. 40, 50
terms and conditions ..... 9, 14, 32, 50, 52, 53, 67,
70, 78, 81, 84, 103, 105, 131, 138, 152
Terms and Conditions .......................... 2, 78, 155
Terms and Conditions, Shipping ........ 3, 142, 144
Train ................................................................ 50
Transaction .. 13, 75, 78, 151, 153, 154, 155, 157
Transaction Authority . 13, 78, 151, 153, 155, 157
Translator ......................................................... 19
Travel .. 2, 20, 24, 25, 35, 40, 49, 50, 51, 61, 157
Travel-Related Expenses .............................. 40
Treasury Service .............................................. 13
Types of Purchase Orders ............................... 67
Unauthorized Purchase ............................. 2, 157
University Funds ............................................ 155
University Policy 3.14, Business Expenses ..... 36
University Policy 3.25, Procurement of Goods
and Services ............................ 1, 2, 4, 8, 9, 11
University Policy 4.2, Transaction Authority and
Payment Approval ........... 13, 15, 78, 151, 153
University Policy 4.6, Standards of Ethical
Conduct ......................................................... 7
Vehicle Rental ................................................ 40
Vendor 2, 5, 9, 22, 26, 27, 28, 29, 31, 36, 67, 69,
73, 76, 79, 80, 85, 145, 148, 152, 155
Vendor Relations ........................................... 145
Vendor Selection........................................ 2, 5, 9
Videography ................................... 86, 133, 148
Visual Identity ................................................. 110
W-8 ...................................................... 28, 30, 31
Buying Manual Number: 904
Subject: Quick Reference and Forms Issued: June 10, 2009
Title: Index Revised: May 10, 2016
Section 904
160
W-9 ................................ 28, 29, 30, 31, 105, 155
Web Design ..................................................... 86
Writing ............................................................. 86