Policy Manual sample

MDT Home Health Care Agency, Inc. PURCHASING AND ACCOUNTS PAYABLE PURPOSE: To establish a cost-effective system for the purchase and distribution of supplies and equipment necessary for efficient operations. To establish guidelines for payment of accounts payable. To define lines of authority related to purchasing. POLICY: PURCHASING: · The agency provides necessary office supplies and equipment used by all staff. · Purchases are made in accordance with expenditure levels established in the budget and with the prudent buyer concepts. · Items that were not considered during the budget process require approval prior to purchase. · Requisitions require the President’s signature if greater than $300.00. ACCOUNTS PAYABLE: Accounts payable are paid within 60 days. PROCEDURE: PURCHASING: · The Supervisor of each area is responsible for identifying routine supplies and equipment needed for efficient operation of the service area and requesting that these be budgeted. · The administrative assistant requisitions supplies as needed to maintain the established level for clinical and office staff. · If an item is not routine, a purchase requisition is completed and may be sent to the President for approval prior to purchase. · The purchase order is issued to the appropriate vendor to purchase the item. · The purchase order is filed in an open file in anticipation of receiving the vendor’s merchandise. Clerical staff verifies receipt of merchandise against purchase order. Once the merchandise is received, the purchase order is forwarded to the President. · When the purchase order is received by the President, it is compared with the invoice. Home Health Agency Overall Plan and Budget F-27