Last updated August 24, 2005 (Moved from Chapter 60 - June 6, 2007)
A. General. The use of sight drafts at certain off-campus locations may be authorized by the Director of Business and Accounting Services for payments other than wages as a means to more efficiently conduct certain business transactions. Sight drafts may be issued for payment for the following:
- [Note: See APM 55.06 for use of sight drafts for payment of wages.]
- Purchase of livestock with prior approval of the Purchasing Services.
- Payment of freight, shipping charges, and postage.
- Emergency purchases of livestock feed.
A-1. Purchase of Other Goods or Services. The purchase of all other goods or services should follow normal established UI purchasing procedures, unless specifically authorized in writing by the office of Purchasing Services. Sight drafts may not be used for employee travel costs, moving expenses, registrations, or other reimbursements.
A-2. Proper Use of Sight Drafts Required. Abuse of the use of sight drafts may result in termination of their use.
B. Procedure. When there is a proposed need to use sight drafts, the following procedures are to be followed:
B-1. Authorization. Off-campus locations may request authorization to use sight drafts from the Director of Business and Accounting Services. See Sight Draft Authorization (See sample form). These requests must include justification for the need to use sight drafts, name and title of the individual requesting the authorization to use sight drafts, sample signature of that individual, and approval of the appropriate Dean or Director prior to submitting the request to the Director of Business and Accounting Services. Upon approval, Business and Accounting Services will make necessary arrangements with the bank to process sight drafts.
B-2. Purchase of Goods or Services. The following requirements are necessary for using sight drafts to purchase goods or services:
a)In addition to obtaining the initial authorization from Business and Accounting Services to use sight drafts, off-campus locations must also obtain prior written approval from Purchasing Services to use a sight draft whenever the transaction is for something other than the type of transaction described in Section A, above. In those instances, approval must be requested by completing and submitting (fax) the See: Approval for Use of Sight Drafts (See sample form) to Purchasing Services. Failure to obtain prior approval may result in the revoking of the right to utilize sight drafts.
b) When goods or services are paid for by sight drafts, the location will enter that information into Banner. Once the journal is done, the location will fax or mail receipts supporting each sight draft written with the journal # to BAAS General Accounting. The documents will be examined by General Accounting for accuracy and legitimacy of charges. If acceptable, the journal will be approved and posted to Banner.
C. Information. Please address any questions or concerns regarding the use of sight drafts for other than wages to Purchasing Services, (208) 885-3601. Any questions regarding use of sight drafts for wages, please call Human Resources at (208) 885-3609. [ed. 6-07]