2.3.3 Blanket Purchase Order (Revised 03/05/24)

Administrative Responsibility: Associate Vice President for Business Services / Procurement

PURPOSE

This Policy is designed to clarify the appropriate use of Blanket Purchase Orders for goods or services.

SCOPE

This Policy and related policies 2.3.1, 2.3.3, and 2.3.4 apply to all WSU employees and external contractors involved in the procurement of goods and services for the University, whether as an administrator within a Department or Unit, or the final end user of such goods and services.

DEFINITIONS

The following are terms and definitions of some commonly used terms in the procurement cycle:

Blanket Purchase Order	A blanket order is a purchase order the campus end user makes with its supplier that contains multiple delivery dates over a period.
Encumbrance	Funds reserved for a financial obligation. (WayneBuy establishes PO encumbrances through a system integration).
Purchase Order	A purchase order (PO) is a legally binding document created by a buyer and presented to a seller.
WayneBuy	The University eProcurement & Requisitioning System used for the placement of all regular purchase orders and payment of invoices submitted by Departments through the direct payment request (DRP) process.
WayneBuy Requisition (PR)	The online WayneBuy Requisition form generated by a department to request the purchase of goods or services from an individual or a company.

POLICY

The Blanket purchase order is issued to a single vendor for a limited total dollar amount and specified length of time for supplies or routine services. This type of order is not used for equipment purchases or service order contracts.

Blanket Purchase Orders enable a Department to place multiple releases for supplies against a single PO number.

Blanket Orders cannot be issued in excess of $50,000 unless they have been formally bid by Procurement & Strategic Sourcing (See APPM 2.4).

Blanket Orders are discouraged for WayneBuy showcased suppliers, since online expedited ordering is available.

Only one University index and account code may be charged against a specific Blanket Order.

Once the dollar limit of the blanket order is reached, no further releases can be made unless an Amendment has been processed to increase the dollar amount.

If there is time remaining on a Blanket Order, a Change Order can be requested to increase the PO amount. No releases should be placed against the Blanket Order until the Change Order has been approved by PASS. Please note: A blanket issued below $50,000 cannot be increased above $50,000 unless it has been competitively bid (See APPM 2.4).

It is the department's responsibility to ensure that the estimate used on the initial Blanket Order is a realistic amount that is expected to be used for the period indicated.

For grants and contracts, the period covered by the PO (including amendments) must not extend beyond the end date of the grant or contract. For all other funds, the period covered by blanket POs (including amendments) must not extend beyond the University fiscal year-end. New Purchase Requisitions are necessary for Blanket Orders to be established for the new fiscal year.

PROCEDURE

Responsibility	Action
Department	Estimate the total dollar amount required to purchase supplies from a particular vendor for the fiscal year or grant period. NOTE: The estimate should be based on past volume history and/or projected activity for the period. Complete a WayneBuy Purchase Requisition, according to APPM Section 2.2, to request a blanket PO. Select the Blanket Order form found in the Showcased Services section of WayneBuy. Job Aids are found on the Procurement website under WayneBuy. Once the blanket request is approved, WayneBuy will generate a PO number. The blanket PO is now available for use by the requesting department. Call vendor to order specific supplies and state the PO number to be invoiced. NOTE: An order cannot be placed against a blanket PO if the time has expired or the dollars have been expended. Follow procedures outlined in APPM Section 2.6.

Responsibility

Action

Department

Estimate the total dollar amount required to purchase supplies from a particular vendor for the fiscal year or grant period.

NOTE: The estimate should be based on past volume history and/or projected activity for the period.
Complete a WayneBuy Purchase Requisition, according to APPM Section 2.2, to request a blanket PO. Select the Blanket Order form found in the Showcased Services section of WayneBuy. Job Aids are found on the Procurement website under WayneBuy.
Once the blanket request is approved, WayneBuy will generate a PO number. The blanket PO is now available for use by the requesting department.
Call vendor to order specific supplies and state the PO number to be invoiced.

NOTE: An order cannot be placed against a blanket PO if the time has expired or the dollars have been expended. Follow procedures outlined in APPM Section 2.6.

APPENDICES

N / A

RELATED UNIVERSITY/BOARD POLICIES

2.81.01 Contract Awards

Effective Date: Prior to 2000

Revised Date: 6/27/2024

Reviewed Date: 3/05/2024

To be reviewed, at minimum, every three years and/or revised as needed by: Associate Vice President for Business Services / Procurement

Next Review By Date: 3/05/2027

SUPERSEDES POLICY

N / A

HISTORICAL DATES

01/01/2013, 04/01/2012, 09/01/2010, 08/01/2009

Policies and Procedures

APPM Administrative Policies and Procedures Manual