Blanket Purchase Orders | Learn Veracross

Overview

The table below explains the current workaround for how Requesters can enter Blanket Purchase Orders.

Blanket Purchase Order Example

A Requestor may enter a $50,000 Purchase Order to account for the expected cost of their Gas Bill for the entire year. $50,000 is now an encumbered expense that can't be spent from a Budget but is not yet hitting the general ledger.

Each month, when the actual Gas Bill is received, the user will enter the actual amount received, reducing the encumbrance amount and actually hitting their expense. This process continues until the Encumbrance is $0.

Is the estimated yearly cost of the good or service known?

If the answer is YES, follow Workflow #1.

If the answer is NO, follow the Workflow #2.

Workflow #1 - I know the estimated yearly cost for the good or service.

Stage/Action	Header Level	Item Level	Result
Enter a Requisition	Requisition Date Requestor Name School Year Cost Center Description	Create 12 line items, one for each month of the year. Quantity: 1 Unit Price: Estimated Monthly Cost GL Account Description for each Month's Item Click "Add PO Header".	By adding one item per month, this will allow a user to "receive" one item per month at a time.
Complete the Requisition	Toggle "Requisition Complete?" to YES.	No Action Needed	This will trigger the PO Approvers to populate on the Disposition Tab.
Approving and Posting the Requisition	The PO Approver will either approve or reject the Purchase Requisition. Either the last PO Approver or the Business Office will lock (post) the Purchase Requisition.	No Action Needed	Once the Purchase Requisition is approved and posted, it will turn into a Purchase Order, be given a PO #, a PO Date and Open Commitment (what is to be paid; encumbered amount). No adjustments can be made to the PO Header or Items. If any changes are needed after Posting, either Cancel the PO or contact the Business Office to make the adjustment.
Receiving the Purchase Order	No Action Needed	When one Month's Item is received, flag the item as "Fully Received?"	This will cause the "Header" to flag "Partially Received" as YES. This will tell the Business Office that only this one item needs to be paid and they will ignore the other 11 months.
Paying the AP Invoice	No Action Needed	No Action Needed	When the Business Office links the Purchase Order to an AP Invoice, the Amount Invoice will go up and the Open Commitment will go down.
Fully Receive the Purchase Order	No Action Needed	Each month throughout the year, flag the appropriate item as "Fully Received".	When the last item is flagged as "Fully Received", the "Partially Received" flag on the Header will be removed. If there is a remaining Open Commitment Amount on the Purchase Order, please contact the Business Office.

Workflow #2 - I do not know the estimated yearly cost for the good or service.

Stage/Action	Header Level	Item Level	Result
Enter a Requisition	Requisition Date Requestor Name School Year Cost Center Description	Create one line item, one for the entire year. Quantity: 12 Unit Price: Estimated Yearly Cost GL Account Description for each Month's Item	By adding one line for the entire year, you will be updating the "Quantity Received" by 1 throughout the year.
Complete the Requisition	Toggle "Requisition Complete?" to YES.	No Action Needed	This will trigger the PO Approvers to populate on the Disposition Tab.
Approving and Posting the Requisition	The PO Approver will either approve or reject the Purchase Requisition. Either the last PO Approver or the Business Office will lock the Purchase Requisition.	No Action Needed	Once the Purchase Requisition is approved and posted, it will turn into a Purchase Order, be given a PO #, a PO Date and Open Commitment (what is to be paid; encumbered amount). No adjustments can be made to the PO Header or Items. If any changes are needed after Posting, either Cancel the PO or contact the Business Office to make the adjustment.
Receiving the Purchase Order	No Action Needed	When one Month's Item is received, update the "Quantity Received" by 1.	This will cause the "Header" to flag "Partially Received" as YES. This will tell the Business Office that only this one item needs to be paid and they will ignore the other 11 months.
Paying the AP Invoice	No Action Needed	No Action Needed	When the Business Office links the Purchase Order to an AP Invoice, the Amount Invoice will go up and the Open Commitment will go down.
Fully Receive the Purchase Order	No Action Needed	Each month throughout the year, update the "Quantity Received" field in increments of 1. By the end of the year, the Quantity Received should read 12.	When the Quantity Received equals the Quantity, the "Partially Received?" flag will come off. If there is a remaining Open Commitment Amount on the Purchase Order, please contact the Business Office.