Creighton University

Accounting Procedures

PROCEDURE TITLE:

Vendor Information - Add, Inactivate, One Time Vendor

PROCEDURE NUMBER:

APPR 01

RELATED POLICY STATEMENT(S):

None

DATE ISSUED: 

July 1, 1993

DATE REVISED:

January, 2000

OVERVIEW

This file maintenance procedure provides guidance in the processing of changes to the master Vendor File used in processing accounts payable payments. Accurate and timely updating of this file can significantly speed up processing.

REQUIRED FORM(S)

None

PROCESSING STEPS
Add a New Vendor

Before adding a new vendor to the file, it is important to verify that the vendor does not already exist under a similar or alternative name. This can be accomplished by accessing the financial system to conduct a visual search for the vendor.

If you do not have access to the system, the Purchasing Department or Accounts Payable Department can assist in verifying the existence of a vendor. If it is necessary to set up a vendor, the department must next determine whether the vendor will be used in the issuance of a purchase order or if the vendor will be used on a direct payment transaction. Coordinate with the Purchasing Department if the vendor is to be used for the first time on a purchase order transaction. For new vendors on Direct Pay Requests, check the appropriate box on the Direct Pay Request Form. If the vendor is providing personal services or medical services, department personnel must obtain the Vendor's Tax ID number and a permanent home address. If it is not clear to you if the vendor is a person, sole proprietor, partnership, or corporation, request the vendor to complete a W-9. The form can be obtained from the Controllerís Office or retrieved from the Forms Section of the Controllerís Office Home Page. If the Vendor will perform services, be paid more than $600 in a calendar year, and the permanent home address is not in Nebraska, obtain a completed W4NA form from the payee prior to the first payment. If the vendor is a person who is not a U.S. citizen, contact the payroll department for tax implications before any arrangements/contracts/commitments are made with the vendor.

Inactivate a Vendor

When a vendor is no longer required by the entire University, it can be marked as "inactive" on the Vendor File so the vendor cannot be used again as an approved supplier of goods or services. Vendor data is not deleted as a result of this process, since payment history data must be saved for research and reporting purposes. Contact the Purchasing Department if you have received questionable or unsatisfactory goods or services so they can consider not using the vendor.

One Time Vendor

If the department or the accounts payable processors determine that only one payment will be made to a vendor, check the "One Time Vendor" box on the DPR. The vendor will not be added to the Vendor File. Any inquiries concerning payments to a one time vendor can be answered if the accounting distribution is provided.