REQUISITIONS & PURCHASE ORDERS

SPLIT ORDERS - STATE AND RESEARCH FUNDS

DEFINITION

A split funded order is one in which some payment will come from State Funds and some payment will come from Research Funds.  It involves a special process and should only be used when absolutely necessary.

CONSIDERATIONS

  • If any amount of State Funds (even as little as $1.00) are used to purchase equipment, title will be vested with the state and will be recorded on the SUNY Property Control System as a NYS asset.
  • The order can be split ONLY if the sponsors' policy allows title to the equipment to ultimately vest with SUNY.  If title must vest with sponsor, the purchase may not be split.
  • Equipment with title vested with SUNY cannot be transferred from state control.
  • Equipment with title vested with SUNY may be used as a trade-in only toward the purchase of another SUNY funded equipment purchase.
  • The Project Director may want to consider the possibility of separating the purchase of stand-alone components of a system rather than splitting the cost of one item.  If this option is chosen, the SUNY purchased components cannot be transferred from state control, but the Research Foundation purchased components can.  Note, this could be a problem if the components work together to perform one function.
  • Applicable SUNY flexibility rules and regulations (bidding requirements, sole/single source, etc.) must be followed as appropriate for the TOTAL dollar amount of the item being purchased.

PROCEDURE

  • Send a requisition to Procurement Services for the total amount.  Indicate on the requisition the account numbers and the amount for each funding source.  Department must verify that funds are available in both funding sources and that the split funding is allowable by the grant.  Attach all relevant information including quotations received, item information, etc.  All SUNY purchasing requirements will be followed depending on the total dollar amount.
  • Procurement will type up a state purchase order for the state funded amount, and a "mock" purchase order for the Research funded amount, indicating in the body of both purchase orders, the total amount, and the funding split information and the two purchase order numbers.
  • Procurement will send out both purchase orders to the vendor at one time.
  • A copy of the purchase orders will be sent to the Research Foundation requisitioner.
  • If the item qualifies as equipment, the equipment must be recorded on the State Property Control System as a State asset.  Research Foundation contribution amount, purchase order numbers and award number will be noted in the asset record.
  • Vendor must submit two separate invoices for payment by State and Research Accounting.