Purchasing Policy

Policy Statement & Purpose

The University must manage its resources with fiscal prudence and in conjunction with legal and regulatory standards. This policy outlines permissible uses of related University funds and defines purchasing and approval measures for these expenditures.

Entities Affected by this Policy

All University Faculty and Staff.

Allowable Business Expenses

An allowable business expense is an expense or a transaction that the University, a faculty, or staff incurs on behalf of the University in exchange for goods or services.

Payment of an allowable business expense is ultimately the responsibility of the University.

Criteria for Determining an Allowable Expense

In order to be paid directly by the University or reimbursed to an individual, a business expense must be:

• Necessary to perform a valid business purpose fulfilling the mission of the University

• Reasonable in that the expense is not extreme or excessive, and reflects a prudent decision to incur the expense

• Appropriate in that the expense is suitable and fitting in the context of the valid business purpose

• Allowable according to the terms of any federal regulation, sponsored contract, or University policy.

Pre-Approval of Allowable Expenses

With the launch of Workday Finance on July 1, 2025, pre-approval is required for most expenses. In Workday Finance, pre-approval is a defined and automated business process based University Purchasing Authority Thresholds. The method of payment determines the pre-approval process:

Expenses Paid by Employees (Reimbursement, P-Card, or Cash Advance)

Use the Expenses Hub in Workday for:

• Travel and Entertainment:

  • Spend Authorization is always required, regardless of amount.

• All Other Expenses:

  • Spend Authorization (pre-approval) is required for amounts $250 or greater.

  • Expenses under $250 do not require Spend Authorization.

Purchases Paid by Accounts Payable (Purchase Order, Supplier Invoice)

Use the Requisitions Worklet in Workday for:

• Non-Catalog purchases:

  • Pre-approval is required for amounts $250 or greater.

• Amazon Business purchases:

  • All orders require pre-approval through Workday.

Consequences for not receiving pre-approval on expenses include but are not limited to:

• Purchases that meet pre-approval criteria and were not submitted through the aforementioned Workday purchasing processes may not be reimbursed or paid to the supplier by the University.

• Requestor may need to reimburse the University if pre-approval is not completed prior to the purchase.

• Requestor will be subject to progressive discipline, up to and including termination.

Exceptions to Pre-Approval

• Sponsored Program (Grant) expenses

• Utilities and Insurance

Restricted Purchases

Some purchase types are restricted and will require additional review and pre-approval:

• On-site catering - Sodexo is the contracted food service provider on campus. Employees coordinating events on campus that require food service (catering) must grant Sodexo the first option of providing catering. The Director of Business Development must approve any exception.

• Computers - All technology, computer and computer-related purchases should be directed to IT via the IT helpdesk. IT is responsible for telecommunication, computing, audio and video standards across campus and will ensure that the purchase interfaces appropriately with SPU technology systems and determine how the product/service fits within SPU’s broader technology resources.

• Fixtures and Furniture - All fixtures and furniture purchases should be directed to the Facilities department for review and approval.

• Hazardous substances - The storage, use, transportation, or other handling of hazardous substances could implicate health and safety compliance obligations. Facilities must be consulted and provide approval for any purchase that involves hazardous substances.

• Gift Cards - For grant-related gift card purchases, please reach out to the Office of Sponsored Programs who can purchase on your behalf. For non-grant-related purchases of gift cards, please reach out to Finance who will help determine if the purchase is allowable.

Purchasing Authority Thresholds

All purchases/contracts must be in line with Purchasing Authority Thresholds.

Ways to Purchase

Quotes and Bids

A quote is a statement from a supplier regarding the price for specific goods or services. Written quotes are preferable but a quote may be given verbally.

A minimum of three quotes are required when purchasing goods and/or services with a value $10,000 and greater.

It is the initiating department's responsibility to obtain these quotes from various suppliers for the goods or services being obtained. The Accounts Payable department is available to assist departments in identifying comparable suppliers, but it is up to the department to follow through to obtain the required quotes. Once the quote documentation is received, the Department can determine which supplier to proceed with. 

If it is not possible to obtain three quotes, the Department must document why this is the case and include this information with its Purchase Requisition or Request for Payment request. 

A bid is a supplier’s formal statement in response to a formal document outlining, in exact specifications, that they will supply the specified goods or services at a specified rate. This is a commitment in writing from a supplier.

Contracts

Once a supplier is selected, the conclusion of the process may require a formal contract. Requests for Proposal for services typically require a contract, while capital purchases typically only require a purchase order. The final contract will then be signed by the department manager responsible for contract administration in line with Purchasing Authorities. 

Please refer to Contract Review Policy for information on the Contract Review Process.

Travel and Entertainment

Please refer to the Travel & Entertainment Policy for current guidelines on appropriate spending and methods for travel and entertainment.

Adequate Records

All purchases should be accompanied by an invoice which should be submitted to Accounts Payable for payment.

For items purchased with a P-Card, personal funds (for Reimbursement), or Cash Advances, adequate records and documentary evidence, such as invoices or itemized receipts, are needed for all items regardless of the dollar amount. Documentary evidence is not required for meals and incidentals reimbursed under an accountable plan and not exceeding the federal rates.

Tax Due on Purchases

Washington State sales tax is applicable on eligible goods or services purchased within Washington state. Use tax is applicable on goods purchased out of state or where sales tax has not been appropriately charged by a supplier.

If sales tax is not evident on purchases, the University is required to self-assess use tax.

Accounts Payable will make the use tax calculation and add the charge to the Purchase Order or Request for Payment.

For further information on Taxes refer to to the General Accounting Tax page.

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