Additional Payment and Invoice Considerations - 1901.6

Travel Provisions

All supplier travel and per diem expenses must be in relation to official State business, within contract parameters and incorporated into the executed purchase document.  Travel and per diem rates paid to contractors shall be set in accordance with the rates of the Department of Personnel Administration (DPA) for comparable classes or verification supplied that such rates are not available to the contractor.

Necessary travel requirements must be settled before executing the purchase document because the detail and cost (only as allowed for in the contract) must be included in the purchase document to be payable.

All travel and per diem expenses authorized within LPA contract provisions must be verified.

Payments for travel and expenses of $25.00 or more must be supported by receipts.

Freight Bills must be Audited by the Transportation Management Unit (TMU)

In accordance with State Administrative Manual (SAM), Section 3851, 3852, 1200 et seq., and 8422.1, all freight bills must be audited by the TMU before being scheduled for payment by the State Controller’s Office (SCO).  If a freight bill does not bear TMU’s audit stamp, the invoice will be removed from the claim schedule by the SCO and returned to the department.

The TMU’s freight bill approval is not required for the following items:

• The amount of the freight bill is $500.00 or less.
• The freight is included in the goods purchase and the freight bill amount matches that listed in DGS/PD LPA.
• Freight services performed under a contract pursuant to the requirements of SAM, Section 1200 et. seq., specifying the exact rates to be applied for the services.

Training Vouchers

It is acceptable to contract for training vouchers in advance of the training being performed “IF” the contractor does not invoice and the training services are not paid for before receiving the training.

Purchase Document and Invoice Name must Match

The supplier name as shown on the purchase order/CAL-Card Statement of Account and the invoice must match or the SCO will not approve payment.  Do not process invoices if the supplier name varies between these documents.

Non-LPA Supplier Name Discrepancy

If there is a discrepancy in a supplier name between purchase order and invoice, the department shall notify the supplier immediately by phone and follow the dispute process.  The invoice shall be disputed until such time as one of the following occurs:

• The invoice is corrected to match the purchase document.
• An amendment to the purchase document to change the supplier name is executed.  This may, dependent upon the nature of the name change, require an Assignment Acknowledgement or a Contract Novation document to be incorporated within the amendment documentation.

The amendment documentation must be retained in the procurement file.

A new Payee Data Record, STD. 204 may be required.

Department buyers requiring assistance in determining the proper documentation to effect a name change should seek legal advice from their department counsel; DGS/PD buyers should seek assistance from DGS/OLS.

Contact PAMS

Departments may contact PAMS for assistance in determining the proper documentation to effect a name change.

LPA Supplier Name Discrepancies

Departments encountering a discrepancy in supplier names when conducting LPA purchases shall immediately contact DGS/PD to verify whether or not the contractor has processed the appropriate documentation to effect the change in name.

Invoices shall be disputed until such time as the LPA contract has been updated with the name change via DGS/PD issued supplement or amendment to the contract and the department has in its possession an executed amendment to the purchase document.  Documentation to support the name change (LPA supplement/amendment) must be retained in the procurement file regardless of the purchasing authority type of category used.

Documentation

Documentation to support a name change (LPA supplement/amendment) must be retained in the procurement file regardless of purchasing authority type or category used.