Professional Documents
Culture Documents
FAQs For Business Office
FAQs For Business Office
FAQs For Business Office
1) Purchasing Cards
How do I get a card?
The requirements for issuing, using, and cardholder responsibilities can be found in Board Policy
7.3.3 located at http://www.mnscu.edu/board/procedure/703p3.html If you want to receive a
purchasing card, contact the purchasing card administrator in the Business Office. The
administrator will send you an application that must be signed by you, your supervisor and the
Chief Financial Officer. You will need to review the guidelines and requirements of the card
holder, sign the Cardholder Agreement, and send that to the Purchasing administrator. After the
administrator receives the signed application, the application will be submitted to USBank. When
the card arrives, the administrator will send the card to you to activate and use.
What if I have issues with completing my transaction log or dont have the proper documentation?
These questions are handled on a case-by-case basis by the purchasing card administrator in the
Business Office.
2) Chart of Accounts
How do I get a new cost center set up?
The Request for New Cost Center Form is available on the Business Office website located at:
http://www.finance.mnscu.edu/accounting/businessoffice/forms/index.html This form needs to be
completed and submitted to the Financial Planning & Analysiss Budget Director. After the cost
center is set up, you will be notified of the cost center number.
A delegation of authority must also be completed, and approved, before the cost center can be used.
3) Payroll
Who do I contact with payroll questions?
a) Timesheets, amounts deducted and/or paid and timesheet processing.
Send an email to payroll@minnesota.edu. You will either receive a return email or be
contacted by someone to discuss your issue.
b) Benefits should be directed to your appropriate HR representative.
When do I need to submit my timesheet?
Timesheets are submitted on the last Friday of the pay period. If you will be on leave at that time,
then submit timesheet beforehand.
4) A/R Invoicing
Why do I have to use the Business Office process for sending out an invoice? Why cant I just do
it myself?
Board Procedure 7.6.2, located at http://www.mnscu.edu/board/procedure/706p2.html states
Accounts receivable is a significant asset for the colleges, universities and the system office.
Accounts receivable must be carefully managed to ensure efficient and effective collection of all
debts owed to the college, university or the system office. And requires that The receivable must
be entered into ISRS at the time the account is first established.
5) Purchasing Requirements
What do I have to do to make a purchase?
State Statute and Board Policy 5.14.5 contain the requirements: The Minnesota State Colleges and
Universities are required to follow the purchasing requirements as defined in Minnesota State Ch.
471.345, Uniform Municipal Contracting Law, or other authority granted in Minnesota Statutes
Chapters 16A, 16B, and 16C and referred to in the following subparts.
The dollar amount of the purchase determines what steps are required prior to encumbrance. Please
see Part 4: http://www.mnscu.edu/board/procedure/514p5.html.
The Requisition for Purchase is found on the Business Office web site and needs to be
completed/signed and submitted to the Purchasing Technician prior to encumbrance:
http://www.finance.mnscu.edu/accounting/businessoffice/Purchasing.html
6) Prepayments
What can be prepaid?
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State Statute 16A.41 and Board Policy 5.14.5 state we can only make prepayments for software or
software maintenance contracts for state-owned or leased computer equipment6, sole source
maintenance agreements, exhibit space, subscription fees for newspapers and magazines,
registration fees where advance payment is required or advance payment discount is provided and
the Library of Congress services. Questions on specific situations should be directed to the
Business Office Manager.
7) Encumbrances
Do I need an encumbrance in place before I obligate funds?
State Statute 16A.15 and Board Policy 5.14.5 require that Funds must be encumbered prior to
making an obligation through an authorized employee certifying that the accounting system shows
sufficient allotment or encumbrance balance in the fund, allotment, or appropriation to meet it. An
expenditure or obligation authorized or incurred prior to encumbering funds is in violation of state
law and ineligible for payment until made valid and is in violation of Minnesota Statutes 16A.15,
Subd. 3. An employee authorizing or making the payment, or taking part in it, may be liable to the
state for the amount paid. A knowing violation of Minnesota Statutes 16A.15, Subd. 3 is just
cause for the employees removal. The state cannot agree to indemnify third parties or hold them
harmless.
Only under certain circumstances are encumbrances not required. For more information, please
reference the Purchasing Procedure, which can be found at:
http://finance.mnscu.edu/accounting/businessoffice/Purchasing.html.
8) Contracts
What form do I need to use when processing a contract?
Board Policy 5.14.5 requires Purchases must be prepared on forms approved by the system office
to assure that they include all state required contract language. Any modification of forms
approved by the System office or the use of a non-system office form requires the review by the
system legal counsel and approval of the vice chancellor-chief financial officer. System legal
counsel includes either the Minnesota State Colleges and Universities General Counsel or the
Minnesota Attorney Generals Office.
Approved contract templates can be found at: http://www.finance.mnscu.edu/contracts-
purchasing/contracts/forms/index.html.
What has to happen for a contract to be executable?
The procedures and checklist for completing a contract are located on the Business Office website
located at: http://finance.mnscu.edu/accounting/businessoffice/Purchasing.html under the section
titled: Contracts Consultant/Professional Technical Contracts.
9) A/P payment processing
How long does it take the Business Office to pay the invoice?
State Statute 16A.124 requires State agencies must pay each valid vendor obligation so that the
vendor receives payment within the vendors early discount period. If there is no early payment
discount period, the state agency must pay the vendor within 30 days following the receipt of the
invoice for the completed delivery of the product or service.
Although the statute gives us 30 days to make payment, we typically process payments within 7 -
10 days. Items or issues that may create delays in payment processing are discrepancies with
amounts, billings that might not agree with contract language or purchase orders, lack of supporting
documentation, inadequate encumbrance and 16A infractions, and non-delegated approvals. All
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effort will be made to receive early payment discounts. Please contact Accounts Payable with any
expedited payment requests.