FOREST SERVICE HANDBOOK

FSH 6309.12 - SMALL PURCHASES HANDBOOK

Hoosier Supplement No. 94-1

Effective July 6, 1994

POSTING NOTICE: Supplements to this Title are numbered consecutively by calendar year. Check the last transmittal received for this Title to see that the above supplement number is in sequence. Do not post this supplement until the previous one(s) is received and posted. After posting, retain this transmittal until the next supplement to this Title is received. Place it at the front of the Title. This is the first supplement to this title.

Page Code Superseded New

(Number of Sheets)

06 - 1

10.4 - 1

11 - 2

34.2 - 1

42 - 1

51 - 1

Digest: Moves current material from Manual to Handbook.

KENNETH G. DAY

Acting Forest Supervisor

FSH 6309.12 - SMALL PURCHASES HANDBOOK

HOOSIER SUPLEMENT 6309.12-94-1

EFFECTIVE 07/06/94

04 - RESPONSIBILITY.

Ratification. Ratification of Unauthorized Purchases applies to all types of small purchases; i.e., AD-838's, Blanket Purchase Agreements, Imprest Fund, Credit Card, and Third Party Drafts. All procurement transactions entered into shall be made by individuals with delegated purchasing authority and within the limits of their authority as set forth on Form 6300-17, Certificate of Appointment (Small Purchases). Any transaction entered into by an employee without delegated purchasing authority must be done so with the prior knowledge and approval of the signing official. Employees acting outside the limits of their authority or without delegated purchasing authority assume personal liability for their transactions. In order to be relieved of personal liability, unauthorized procurement transactions must be ratified. The following conditions must exist before a ratification is valid:

1. Be signed by a person authorized to ratify. Ratification is a discretionary act which cannot be redelegated. Therefore, an official must have written redelegation authority before ratification is possible.

2. The act to be ratified must not be contrary to law, regulations, or agency restrictions.

3. Ratification is based on a full knowledge of all the facts upon which the unauthorized act was taken. Procurement files shall be well documented to support ratification.

If ratification of an unauthorized procurement is necessary, the personnel file of employee involved may be documented to show disciplinary actions taken.

06 - REQUESTS FOR AUTHORITY. Small purchase authority for unit personnel will be requested by the Unit Manager, using memo format, to the Forest Supervisor. Include the type of authority and dollar limits requested, procurement experience the nominee has, and the date when the person completed the requirements as found in the Small Purchase Training Curriculum and Work Assignment Policy in FSH 6309.32, 4G01.672-5 and 4GO1.672-6.

The request will be regarded as the Unit Manager's assurance that the candidate meets the criteria set forth for the procurements using Imprest Fund Cash, AD-838, Government Credit Card, and Third Party Drafts, and will have the time to aintain the needed qualifications.

10.4 - Responsibility.

The following cutoff dates for receipt of Requisitions (AD-700) and Request for Contract Actions (FS-6300-4) must be followed for appropriations expiring September 30:

July 1 Construction services and supplies over $25,000.

August 1 Construction over $2000, services and supplies

over $2500. All Partnership Agreements.

September 15 Procurements under $2500.

Procurement requests will not be accepted or processed after September 15 without the following statement and signature of the Forest Supervisor:

The attached procurement for represents a bona fide need for __________

expenditure from current annual fiscal year appropriations. See

attached justification statement.

____________ __________________________

Date Forest Supervisor

Hoosier National Forest

Procurement Plan. All procurements over $2000 Construction and $2500 Services and Supplies, originated by the Supervisor's Office staff units or districts, shall be documented and submitted to the Contracting Officer in the Supervisor's Office by September 1 annually. Each staff and unit shall submit this procurement plan based on the estimated availability of funds.

The Forest Procurement Plan is intended to be a flexible instrument that will help the Forest manage its procurement program. The procurement plan will be updated quarterly.

11 - REQUISITIONS. Requisitions will be submitted to the Supervisor's Office for the following:

1. All procurements over the Support Service Supervisor's authority.

2. Any items subject to Forest-wide consolidated purchase, such as paint, radio batteries, and signs through the Forest Sign Coordinator.

3. Printing orders to the Government Printing Office.

All requisitions submitted to the Supervisor's Office will be on Form AD-700, except FS 6300-4 which will be used to requisition formal contracting needs ($2000 construction and services over $2500). Prepare requisitions manually or electronically using Form AD-700. Electronic preparation through APOS is strongly encouraged.

Requisitions (AD-700) and Requests for Contract Actions (FS-6300-4) should reach the Supervisor's Office in advance of intended delivery or starting dates as follows:

Supply, Service and Construction over $25,000 90 days

Construction over $2000 45 days

Service $2500-$25,000 45 days

Supply $2500-$25,000 45 days

Field units will order their routine needs directly from General Services Administration.

Indicate funds to be charged for all items requested. Separate requisitions should be prepared for each different source of supply.

Number all requisitions beginning with Number 1 on October 1 of each year. Show district initial in front of the requisition number and fiscal year following; i.e., for Brownstown the number would be shown as BT-1-94, BT-2-94, etc.

Always try to anticipate needs as far in advance as possible so as to hold special or rush requisitions to a minimum.

Requisitions that are to be processed through the Supervisor's Office will require signing by one of the following personnel:

District Level District Ranger

Acting District Ranger

Program Managers

Support Services Supervisor

Supervisor's Office Person responsible for program funds

or their Acting.

Normal procurement lead times are listed in R-9 Supplement 7.104 to 6309.32. Certain recurring types of procurements may take less time while complicated or unique procurements may take longer than the normal lead times.

32 - BLANKET PURCHASE AGREEMENTS (BPA).

Blanket purchase agreements may be issued by the Supervisor's Office to firms with whom numerous recurring small purchases are made. Sub-units are encouraged to use imprest funds where cashiers are located rather than BPA's.

Requests for establishment of blanket purchase agreements shall be submitted in writing to the Supervisor's Office for approval and issuance.

A reasonable number of transactions per month will be required before a blanket purchase agreement will be considered.

Employees authorized to order supplies under blanket purchase agreements are listed on each blanket purchase agreement document. A copy is on file in the Supervisor's Office and in field offices where authorized employees are located.

34.2 - Purchase Documentation .

When the estimate for a procurement is less than $2500, quotations are not required. Any open market purchases over $2500 shall be accompanied by evidence of competition. If anticipated over $2500, but within the procurement authority of the Support Services Supervisor, the Unit may obtain oral or written quotes for items within their procurement authority.

Districts are authorized to use AD-838 (Purchase Order), AD-633 (Multi-Use Standard Requisitioning/Issue System Document), Third Party Drafts, and Government Credit Cards in accordance with instructions contained in FSH 6309.12, Small Purchases Handbook.

Each unit will send to the Supervisor's Office the pink copy of Third Party Drafts for review.

Each receiving office will be responsible for establishing a follow-up procedure to ensure the supplies/services are received within the designated time period and that the supplies/services meet the specifications of the procurement.

The receiving office will be the office holding the green receipt copy of the Purchase Order.

42 - DISTINCTIVE ITEMS.

1. Advertising (Newspaper - Legal Notices) when authority is delegated. Amounts paid by the Government may not be in excess of commercial prices charged to private individuals with usual discounts. AD-838 (Purchase Order) is authorized for use in placing an advertising order.

51 - PROCUREMENT PROCEDURES.

Form AD-838 (Purchase Order) shall be used when renting equipment. Review FSH 6309.12 (Small Purchases Handbook) for preparation. Basically, there are three forms pertaining to rental agreements. They are as follows:

Form OF 294 Emergency Equipment Rental Agreement, for fire suppression

equipment rentals except aircraft.

Form AD 838 Purchase Order-Invoice, for all other equipment rentals

except fire suppression.

Form FS 7100-8 Condition Report. All equipment hired on OF-294 and AD-838

must be pre-inspected and post-inspected and recorded on

7100-8. See instructions on back of forms. Aircraft would

be an exception as the Regional Air Officer inspects them at

time of approval.