A. REASON FOR POLICY

The authority to commit University funds for goods and services is vested in the Board of Trustees of Xavier University and delegated to the President, the Vice President, Financial Administration and Chief Business Officer (CBO), the Provost, and the Vice President, Administration and Director of Athletics. The CBO is responsible for developing operational procedures to ensure compliance with this policy and delegated purchasing authority.

For purposes of this policy and the expenditure of any University funds for goods and services, Purchasing Authority is defined as the authority to commit University funds for goods or services.

The primary goal of this policy is to provide guidance to University employees who engage with outside suppliers for the acquisition of goods and services. This policy seeks to ensure the prudent expenditure of funds and requires all who authorize such expenditures on behalf of Xavier University to exercise good judgment in accordance with the mission and values of the University.

This policy applies to all members of the Xavier University community, including but not limited to faculty, staff, students, visiting scholars, visiting researchers, consultants and volunteers.

The information provided in this policy also pertains to purchases charged to external grants. For more specific purchasing guidance under federal grants, please see the Xavier Federal Grant Purchasing Guidance on the Office of Grant Services website.

B. POLICY

The Office of Central Procurement and Accounts Payable (CPAP) is responsible for day-to-day operational oversight of all supplier approval, purchasing, and expenditure transactions. CPAP is responsible for developing and communicating procedures to assist departments to ensure compliance with this policy and to enable the acquisition of goods and services in an ethical, efficient, and cost-effective manner. 

B.1 USE OF UNIVERSITY PROVIDED SYSTEMS AND FUNDS

Central Procurement and Accounts Payable (CPAP) is responsible for ensuring the University uses best practices and achieves economies of scale in the procurement of goods and services necessary for the effective and efficient operation of the University and to ensure our suppliers are paid in a timely manner. CPAP provides assistance on how to make purchases, including the use of University buying tools such as XavierBuy, the University eprocurement system, and the University P-card. CPAP also directs the appropriate method of purchase for each type of transaction.

The use of University systems or funds (including XavierBuy and P-cards) to purchase personal items or items that are not specifically for University use is strictly prohibited and will result in loss of purchasing and P-card privileges and may result in disciplinary action, up to and including termination.

Purchases of non-travel-related goods or services made with personal funds or personal credit cards, regardless of dollar value, will not be reimbursed under any circumstances, unless preapproved, in writing by an appropriate approver, in accordance with the Authority for Financial Transactions Policy.

Purchases of travel-related goods and services (e.g., transportation, lodging, meals, etc.) may be purchased with personal funds in accordance with the approved Travel, Meals and Entertainment Expense Policy. 

B.2. UNIVERSITY APPROVED SUPPLIERS

CPAP will work with buyers and buying departments to evaluate suppliers to ensure that Departmental needs can be met in a cost-effective and efficient manner. Only CPAP has the authority to add or delete suppliers as “University approved” suppliers in XavierBuy. Goods and services may only be purchased from University-approved suppliers unless a P-card is used; see Section B.5 below for guidance on the use of a P-Card.  

Xavier personnel should only solicit quotations/proposals from University approved suppliers. Contact CPAP prior to engaging with a new supplier. Orders or contracts for goods and services from suppliers that are not University-approved suppliers is a violation of this policy.

B.3 DELEGATION OF AUTHORITY AND EXPENDITURE LEVELS

Any expenditures on behalf of the University are only authorized if the individual incurring the expenditure is authorized to do so, consistent with this and any other applicable policies of the University. See Authority for Financial Transactions Policy.  

B.4 PURCHASES GREATER THAN $2,500

All purchases of goods and services in amounts greater $2,500 must be processed through the XavierBuy system utilizing a Purchase Order. All vendor invoices must contain the XavierBuy Purchase Order Number.

Contact CPAP for any transactions over $2,500 where a Purchase Order is not practical PRIOR to making a commitment with a supplier. Any invoice that does not contain a XavierBuy Purchase Order may be returned to the supplier without payment.

P-cards may not be used to purchase goods or services in amounts greater than $2,500. However, in certain circumstances, CPAP may use a P-card to make purchases or pay invoices in amounts greater than $2,500; only CPAP is authorized to make P-card purchases in amounts greater than $2,500.

B.5 PURCHASES GREATER THAN $10,000

Competitive bids are required for any good or service with a value of $10,000 or more unless approved in advance by CPAP or the CBO.

Non-bid or Sole Source Transactions over $10,000: 

Purchases exceeding $10,000 that are not competitively bid require a statement of price reasonableness. Price reasonableness for sole source items can be established by:

1. Pricing under a Group Purchasing or Affiliate Agreement.
2. Discount off a public price list. Discount off a public list. price Detailed breakdown of projected costs (used for services): include labor category, labor rate, material markup and overhead/profit percentage. Comparison of prices obtained through market research.
3. Detailed breakdown of projected costs (used for services): include labor category, labor rate, material markup and overhead/profit percentage.
4. Comparison of prices obtained through market research.

CPAP will assist in determining price reasonableness if needed. It is important to ensure, and document, that Xavier is obtaining reasonable pricing when competitive bidding is not practical.

B.6 PURCHASES GREATER THAN $25,000

For purchases greater than $25,000, CPAP should be consulted before requisitions, supplier contracts, or other formal supplier engagements are initiated. 

B.7 PURCHASES LESS THAN $2,500

All purchases of goods and services in amounts less than $2,500 can be processed using either the XavierBuy system or using a University issued P-card. A P-card should be used in the following circumstances for transactions under $2,500: 

1. The supplier is not registered in XavierBuy and will only be utilized on a one-time basis; The supplier is not registered in XavierBuy and will only be utilized on a one-time basis; Supplier is not performing work on Xavier University property; The supplier is not an Independent Contractor; The supplier will not accept a Purchase Order; o To pay for Business and Travel expenses aS permitted under the University’ approved Travel, Meals and Entertainment Policy
2. Supplier is not performing work on Xavier University property;
3. The supplier is not an Independent Contractor;
4. The supplier will not accept a Purchase Order; or 5. To pay for Business and Travel expenses as permitted under the University’s approved Travel, Meals and Entertainment Policy

For specific procedures related to purchases made using a P-card, refer to the University’s Purchasing Card Procedure.

All other purchases must go through the XavierBuy eProcurement system. Only authorized Buyers and Browsers can initiate these transactions.

B.8 REIMBURSEMENT OF PERSONAL EXPENDITURES

Xavier University will only reimburse expenses that are approved prior to the date of the charges. Reimbursement should not be used for payment of goods or services in lieu of existing procurement practices. Invoices paid by individuals outside of this process risk not being reimbursed.  

B.9 SUPPLIER DIVERSITY

Xavier University is committed to supplier diversity and believes that our supplier base should reflect the communities we serve, while demonstrating high value propositions of service, pricing, reliability, and alignment with our commitments to social justice, mutually beneficial community engagement, and good fiscal stewardship. The University will not privilege suppliers solely based on race, gender or location, but will strive to provide Cincinnati-based and minority-owned and women-owned business enterprises opportunities, and labor surplus area firms to compete for our business.

B.10 INDEPENDENT CONTRACTORS

Independent Contractors are self-employed individuals who do business with Xavier. An Independent Contractor Form (ICF) is required to be attached to each individual XavierBuy transaction with an Independent Contractor. Each Contractor must be set up in XavierBuy before the contractual agreement can be executed so that a purchase order is issued. 

B.11 FOREIGN SUPPLIERS:

Suppliers who do not have a United States EIN or SSN must complete W8-BEN or W8BEN-E forms in XavierBuy. International suppliers requiring payment in foreign currency will need to be paid via Wire. Wire instructions can be found on the Controller’s Site. Wire request form can be found HERE. 

C. EXCEPTIONS

This policy is intended to cover the majority of traditional purchasing activities on campus. However, there may be purchasing activities that are unique to a department or to a specific situation that are not clearly indicated in this policy. In those instances, please contact the Central Procurement and Accounts Payable department to review the situation to ensure that the transaction can be properly processed.  

D. OTHER APPLICABLE POLICIES, GUIDELINES, PROCEDURES AND RESOURCES

The following guidelines and procedures are related to Xavier Purchasing and should be referenced as applicable:
1. Authority for Financial Transactions Policy

2. Purchasing Card Procedure

3. Student Domestic Travel Policy: Student Domestic Travel Policy

4. Travel, Meals, and Entertainment Expense Policy