SOP-PURCH-17: Check Requests

Number: SOP-PURCH-17

Subject: Check Requests

Summary: When and how to submit a check request form.

Source: University Procurement Services

Date of Issue: 02/06/2020

Date of Revision: 02/03/2022

Procedure

Locate a Check Request form by clicking the Forms shortcut on the Shopping home page. A full listing of Check Requests is available in the Shared section.

Click the form name or the Submit Request button to begin completing the Check Request form.

Completing the Check Request Form

Every Check Request contains an Instructions section which defines when the Check Request may be used. You must only use the Check Request form in the situations described in this section. For example, Honoraria/Guest Speakers/Entertainers may only be used to process payment for services such as artist fees, guest speakers, honoraria, and entertainers.

Contact Purchasing if you are unsure which Check Request form suits your situation, or if a Check Request is appropriate.

Additionally, every Check Request form requires substantiation documentation. This documentation is attached directly to the Check Request form and strives to prove to an independent party, such as an auditor, that the payment was:

• Necessary
• Appropriate to the occasion
• Reasonable in amount and,
• Serving a bona fide university business purpose.

The type of documents used to meet the criteria above varies depending on the type of Check Request being submitted. For example, substantiation documentation for the Reimbursement for Supplier Out of Pocket Expense form may consist of a supplier-prepared receipt and a description of the reason for the purchase. Documentation used with the Prizes, Honors, and Non-IU Student Awards form may consist of a letter to the student which outlines the stipulations and amount of the award they are receiving. Regardless, substantiation documentation must contain the following details:

• Itemized list of goods or services purchased and the cost associated with each,
• Date of purchase/performance,
• Payee name,
• If issuing a refund or reimbursement: proof of payment.

In limited circumstances, a Payee Certification may be used in place of a supplier invoice. This form is completed and signed by the supplier and contains the criteria listed above. The Payee Certification form may only be used with the Honoraria/Guest Speakers/Entertainers and Payment to Research Participant Check Request forms.

Properly redact all critical data prior to uploading substantiation documentation in BUY.IU. If critical data must be visible to substantiate a payment being made, select “No” in the Substantiation Documentation section and securely store the information in your department for the remainder of the current fiscal year and the entirety of the next seven fiscal years.

Completing the Requisition

BUY.IU does not require information in these fields and will not prompt you to enter this information.

In addition to the basic Requisition fields, information must be entered in the Special Payment Instructions section. Here, check stub text is entered which appears on the payment made to the supplier. Click the pencil icon in the upper right-hand corner to make changes.

This section also contains the Check Attachment Requested or Check Special Handling Requested options. Depending on your payment situation, you may need to complete these sections. Review SOP-PURCH-16 for additional information.

Payment Generation

When a Requisition containing a Check Request form reaches completed status, BUY.IU automatically generates a Purchase Order and an Invoice document.

The Invoice document generates the payment requested on the Check Request form. It is not necessary to submit supplier invoice documentation to generate payment. This information should have been included in the substantiation documentation attached to the Check Request form.

Check Request Invoice payments are generated the next business day after the Invoice is created. The due date field on the Invoice does not reflect when the payment will be or was made. Instead, review the Payment Information section of the Invoice for these details.

Refer to the Checking the Status of a Payment document for additional details.

Definitions

Check Request:

An electronic form attached to a Requisition. Upon final approval, these Requisitions result in the immediate generation of payment without the submission of a supplier invoice.

Completed Status:

Workflow status reached when all necessary document approvals have been collected.