Policies & Procedures Manual - Elizabeth City State University

400.3.1.9Adopted: 06/14/05ELIZABETH CITY STATE UNIVERSITYDisbursement Policy1. The State of North Carolina operates on a cash basis.2. Discount terms offered by suppliers may result in savings for Elizabeth City State University.Since payments cannot be made without a properly executed receiving report, it is importantthat receiving reports be processed by departments immediately after satisfactory receipt ofgoods or services in order to take advantage of discounts.3. The following is used as the basis of determining, time, in connection with the discountsoffered:a. When final inspection and acceptance of supplies and materials are at the point of origin,time is computed from the date of delivery to the carrier, orb. When final inspection and acceptance of supplies and, materials are at the destination, timeis computed either from date of delivery at the destination, or from the correct invoice ifreceived, if such date is later than the date of delivery.4. All invoices received through departments or offices Purchasing should be forwardedimmediately to the Accounts Payable Office.5. Checks are printed daily by the ECSU Data Center. This allows for efficiency within thedisbursement function, and also maintains the prompt payment of invoices.6. Checks are sent to the payee at the address on the invoice. If a check is to be delivered tosomeone other than the payee, a note containing special instructions must be attached to theinvoice. If checks are undeliverable or unidentified they should be returned to Accounting forpossible cancellation.7. A reconciliation of all outstanding Accounts Payable checks should be made every month. Thereconciliation should include computer generated checks; manual checks, check cancellationsand any adjustments.