Section 10: Glossary of Terms

The process of allowing competition by interested parties in the purchasing of goods or services to assure fairness and maximizing the return for the public tax dollar.
Central Stores
The University unit charged with maintaining and delivering an inventory of commonly-used office supplies normally consumed by university departments in the day-to-day operation of performing the department's mission. The cost of the goods is charged to the department's budget. Central Stores obtains the best possible prices by using multiple suppliers receiving quantity discounts. Departments are charged only the cost of the goods – no mark-up is involved.
Conflict of Interest
(in this context) an action whereby preferential treatment is given to a person, or an entity, which provides a benefit, monetary or otherwise, to the exclusion of others who might vie for the benefit. The issuance of an order, outside the purview of the University Purchasing Office, to a friend, relative, business associate, etc., is an example of that which would be considered a violation of the Board of Governors policy and the Statutes of the State of Missouri, as they pertain to this subject matter. See also Related Parties, this Glossary.
The total cost(s) submitted on one purchase requisition to include cost of the goods and/or services, the shipping charges, set-up or installation charges, handling charges, and any other expenditure of funds relating to the procurement of such goods and/or services.
Emergency Purchase
That situation which creates a serious and obvious threat to public health, welfare, or safety and/or the operation of the University in executing its legal responsibilities to the public and/or for the persons or property in its legal area, custody, or control as may arise by reason of flood, epidemic, illness, riot, natural disaster, accidents, equipment failure, and similar causes.
Any equipment, supplies, or materials having physical properties.
The act of dividing an order into multiple orders, to stay below a dollar level which might require the requisitioner to utilize a process which is not as easily accomplished, or requires additional approvals. Also known as "stringing," this process is against the laws of the State of Missouri; against the policies of Missouri State University; and inconsistent with the Policies and Procedures of the Missouri State University Purchasing Department. Utilization of this process can be grounds for termination of any delegated purchasing authority which the requisitioner in question may have. The process does not require that the items, or the provider, be the same; but rather that the items be "like items," and the vendors be from the same general vendor/provider group. Questions should be directed to the Missouri State University Purchasing Office.
Petty cash
The method of reimbursement to university employees for the purchase of goods and/or services not available from Central Stores nor on state or Missouri State University (local) contracts but urgently needed that adequate time is not available to purchase by other methods. Costs of goods and services cannot exceed $100.
Purchase Order Number
A numbering system for the referencing of documents used in purchasing goods and services such as invoices, shipping tickets, and receiving tickets.
Purchase Requisition
The document used to request and authorize purchase of goods and services or request payment of invoices for goods and services.
Reimbursement Form
The document that authorizes reimbursement to university employees that have made purchases from their own personal funds.
Receiving Dock
The central location where all goods purchased by the University should be directed to be accepted by university personnel to assure the agreement is fulfilled by the vendor or supplier (i.e., goods are as described, not damaged, and correct quantity) and where university personnel can assign an identification tag number, include in the University property inventory, and see that the good(s) are delivered to the appropriate person, department, or unit.
Related Parties
Persons or entities with whom the person authorizing a commitment of funds has a relationship such that the transaction could be perceived as a conflict of interest. Such an action is inconsistent with the policies of the University, the Board of Governors, and the State of Missouri (as set forth in RSMo 105.450)
Sensitive Items
Items purchased at a cost of under $1,000 that are considered attractive or easily pilfered and must be inventoried according to Section 4 of 15 Code of State Regulations 40-2.031. These sensitive items may include: audiovisual equipment, calculators, computers and accessories, dictating equipment, television sets, recorders, power tools.
Any act of a second party providing labor, equipment, or materials to the University.
Missouri State University (local) Contract
Goods and services procured by the Missouri State University Purchasing Office for the use of all Missouri State University Departments and Offices. It is mandatory to use these contracts, unless authority to not do so is provided by the Purchasing Office, and specifically by the Buyer responsible for the contract in question.
State Contract
Goods and services procured by the State of Missouri Division of Purchasing and Materials Management and made available to state agencies; and items available from Missouri Correctional Enterprises. It is not mandatory to use these contracts, if there is a good business decision to not do so.
A company or organization that is willing to provide goods and/or services to the University in exchange for funds. Same as "Vendor."
Telephone Bid
The process whereby a university representative obtains information for the purchase of goods and services including description of goods and services, cost(s), delivery or shipping methods, and set-up or installation. A bid does not constitute an order.
University Contract
A contract for use specifically by Missouri State University, or by any specific department, to provide goods and/or services over an extended period of time, at an established price. If you believe you have a viable candidate commodity, or service, contact the Purchasing Office with your estimated needs, and any other suggested user departments, and a contract may be established for your convenience and use. Contracts regularly have a base year, as well as one to four one-year renewal options, depending on the nature of the contract and what is in the best interests of the University.
A company or organization that is willing to provide goods and/or services to the University in exchange for funds. Same as "Supplier."