The Controller's Office is excited to announce that we are collaborating with Procurement Services and ITS to simplify the invoice payment process for closed purchase orders (POs). These process and system changes aim to reduce administrative workload and enhance efficiency. The related Financial Rep (FinRep) Listserv announcement can be found here.
Example Scenario
A PO with a due date of 5/31/2024 to purchase 10 widgets is dispatched to a supplier on 3/18/2024.
- What is the SpearMart close date? 5/31/2024 - PO due date.
- What is the anticipated OMNI Status close date? 12 months after the PO date.
- When can a change order be made? Before the SpearMart close date of 5/31/2024. You must allow Procurement sufficient time to process the change.
- What if we don’t receive the invoice until 9/15/2024 and the SpearMart status is closed? The OMNI status is dispatched (open). Ensure the items are receipted in OMNI FI and send the invoice to Accounts Payable. The voucher will be processed as normal.
- If the invoice associated with this PO has not been received on 6/30/2024, what status will it have in the system on 7/1/2024? The SpearMart Status will be closed and the PO Status will be dispatched (open) and available for invoice and payment processing.
- What happens if the items are received after 5/31/2024? The department should receipt the items in OMNI, ensure that AP has received the invoice, and AP will then process the payment as normal.
Frequently Asked Questions
What happens to a PO if a department never receives a good or service?
The department should continue to monitor POs with outstanding encumbrances. The department can close a PO at any time, or the PO will close and release the related encumbrance one year after the PO end date.
What PO Status will a PO issued in FY24 have that has an outstanding encumbrance balance at 6/30/2024 after the fiscal year-end roll process?
The PO Status will be dispatched (open) and the SpearMart Status will depend on the PO due date (closed if the due date has passed and open if the PO due date is after 6/30/2024).
What happens if the invoice is received after the PO closes in SpearMart and does not match the PO?
Accounts Payable would work with the department to determine next steps.
Should a department submit a change order to extend a due date prior to fiscal year-end if they are waiting on an invoice from the supplier?
No, departments should only extend due dates if the goods or services on order require the due date to be extended.
When will the SpearMart status close?
The SpearMart status will be updated to closed on the PO due date.
Where will both PO statuses be located?
Both statuses will be in OMNI and in SpearMart (see below for a sample OMNI page layout).
What happens if the invoice is received after both statuses are closed?
Accounts Payable would work with the department to determine next steps.
Can a PO be in open status in SpearMart and closed status in OMNI?
No. If the SpearMart status is open, then the OMNI status will always be dispatched (open).
Can a change order be requested if the SpearMart status is closed?
No, once the SpearMart status is closed, the department will have to request a confirming order or a new purchase order depending on the situation.
Sample OMNI Layout
Note: A sample SpearMart layout will be available soon.
