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Unauthorized Purchases

An unauthorized purchase is a purchase made outside of one of the methods shown on the Purchasing Decision Chart.

Examples of unauthorized purchases include:

• Employee purchases a new $250 printer for the office, writing a personal check for the purchase;
• Employee purchases a $1500 computer for new computer lab, using a personal credit card.

In both cases above, the employee made a purchase (committed funds) on behalf of the university without securing the appropriate approvals first. The purchased items may be appropriate for business use; however approvals for all university purchases should be secured before the purchase is made.

Factors to consider with unauthorized purchases include the costs of processing invoices and checks, personnel time, and any travel involved to make such a purchase. Many times these costs offset savings in the purchase price.

Following one of the approved methods ensures that all approvals are properly documented and also ensures that the university receives the best price. In some cases, employees may not receive full reimbursement for a purchased item if it is determined that the university could have negotiated a better price.

Note: Items purchased should not include the restricted items listed in UC Davis Policy and Procedure Manual Section 350-21, Departmental Purchase Delegations. All purchases of restricted items, no matter what the dollar amount, follow the same procedure as Reimbursements for More than $500.

The process for an unauthorized purchase is dependent on the dollar amount of the original purchase and what was purchased. Regardless of the dollar amount, the purchase must be appropriate and necessary for university purposes. Purchases that are not appropriate or necessary will not be reimbursed. For items that would otherwise be purchased by the department:

• Reimbursements for $500 or Less:
  • Initiate a DaFIS Direct Charge (DC) document to reimburse the employee. Clearly define the item purchased and business need in the Notes screen of the DC document.
  • Attach the original itemized payment receipt or vendor invoice to the Accounts Payable Request for Document Action form and submit to Accounts Payable for check processing. The receipt should indicate the name of the person being reimbursed; if it does not, the Accounts Payable Request for Document Action form should indicate the name of the individual being reimbursed. If the original receipt is lost, the individual must complete the Declaration of Missing Receipt, and this must be submitted to Accounts Payable.

• Reimbursements for More than $500 (or if the item is considered a restricted item in UC Davis Policy and Procedure Manual Section 350-21):
  • Complete a confirming Requisition (PR). If reimbursing the employee directly, the employee's information should be entered in the Suggested Vendors section, and the Vendor Number field should be left blank.
  • Draft a memo explaining the reason for the purchase. This memo is to be approved by the department head or designee and the dean/vice-chancellor or designee. Attach the memo to the Cover Sheet for Requisition Attachments and send to Purchasing.
  • The Director of Materiel Management or designee will review the confirming PR and approve as appropriate.
  • Initiate a VI issued against the Purchase Order (PO) issued by Purchasing.
  • Attach the original payment receipt or vendor invoice to the Accounts Payable Request for Document Action form and submit to Accounts Payable for check processing.

If work normally requested through Business Contracts has been completed without the knowledge of Business Contracts, a written agreement must still be completed in order to document the transaction for audit purposes and for payment processing. A Requisition should be completed, describing the service performed and the specific dates of the work.

Refer to the UCD Policy and Procedure Manual for more specific instructions on unauthorized purchases.

Education is key. Let faculty and staff know what purchasing methods are available to them. Even if they are non-DaFIS users, there are several purchasing options to consider:

• Purchasing Card: The card can be used for the same items that can be purchased on a DPO.
• UCD Buy: Purchase items from the storehouse and several UC contract vendors, including Office Max, VWR, and Steelcase.
• Campus Service Units: These include service departments, such as Repro Graphics, Facilities, and Environmental Health & Safety.