Hospitality Guidelines

  1. Purpose and Authority
    These management guidelines implement the Purchasing Policy adopted by the Corporation Board of Directors, October 29, 2010. The guidelines are intended to provide appropriate direction for competitive purchases of equipment, supplies, and services essential to the operations of the Corporation and its support services activities.
  2. Policy
    The Purchasing Policy will direct every effort toward the acquisition of quality products and services at the most advantageous price.

    1. Solicitation should involve a cross-section of qualified vendors.
    2. Purchases shall follow what is customary in the market place for a particular service, commodity, or product
    3. Everything being equal, recycled products shall be considered over non-recycled products
    4. Purchases must be approved by appropriate authorized signatory, supervisors, and CPC authority prior to issuing a purchase order or processing a check request
    5. Volume or pool purchases, annual purchase agreements and state purchasing contracts shall be utilized when deemed advantageous. State purchasing contracts are:
      1. Western State Contracting Alliance (WSCA)
      2. Master Enabling Agreements (MEA)
    6. Americans with Disabilities Act (ADA) will be enforced where furniture installations are made in any University facility, including those leased by auxiliary organizations
    7. Certificate of Insurance for service providers, independent contractors, installation services, and delivery services are required
    8. Independent Contractors must have an appropriate contract /agreement on file prior to services being rendered
    9. Sponsored Programs Activity purchases will be approved in accordance with the sponsoring agency’s contract
    10. Purchases from funds held in trust for the University must also conform to University policy and regulations governing the use of such funds.
    11. Sales & Use Tax will be applied to all appropriate purchases and if not charged by the vendor, Use tax will be accrued and remitted by CPC
    12. Any construction on campus must be approved by CPSU Facilities department
    13. Hospitality Purchases must comply with hospitality guidelines. Refer to CPC Hospitality Guidelines on website under Forms & Documentation
    14. Prevailing Wage is required for all public work projects. Public Works is where there is any erection, construction, alteration, repair, or improvement of any public structure, building, road, or other public improvements of any kind. In some cases, installation can have an element of public works. For example, concrete, electrical, plumbing, painting, etc… this type of work needs to be performed by a licensed contractor and pay prevailing wage.
    15. Purchases of Hazardous Materials
      1. CPC & CPF follow the State rules and regulations for hazardous material. The program is administered through the Office of Environmental Health and Safety. Information on the program can be found at
      2. MSDS forms are the responsibility of the purchaser and are to be kept on site or with easy access (e.g., online) where the hazardous materials are located and used.
  3. Purchasing Limits
    1. Less than $5,000: purchases shall be accomplished in a manner customary to the market place using sound business practices and adherence to purchasing policies
    2. Between $5,001 and $24,999: Written price quotes must be obtained on all purchases. Documentation should include date, vendor name, contact person and telephone number, written specifications, and any differences from other price quotes
    3. Purchases of $25,000 or Greater: A request for purchase order must be submitted accompanied by three formal bids, based on the same written specifications and must be approved by the Executive Director, Associate Executive Director, or Controller.
  4. Sole Source Justification Purchases
    In general this type of purchase is discouraged. Such purchases on a non-competitive basis will require written justification and advance approval of the Executive Director Associate Executive Director, or Controller. The written justification should include:

    1. Unique performance factors of the products specified,
    2. Why these factors are required, and
    3. What other products have been evaluated and rejected, and why
  5. Purchases from/to Corporation Employees, CSU Staff and Faculty
    1. Any Purchase or services from CPC employees, CSU staff, or faculty shall be certified as to their competitive value by the appropriate department head and be approved by the appropriate dean or CPC management. Purchase of “services from” faculty or staff shall be conducted in a manner which constitutes “an arm’s length transaction”
    2. No CPC board member, employee, or CSU employee by virtue of their position will personally derive any benefit or receive preferential treatment from the purchase of equipment, supplies, or services.
  6. Exceptions to Bidding
    The following purchases are exempt from bidding or Sole Source Justification

    1. Resale merchandise
    2. Food Stuffs and Seasonal commodities for use in Campus Dining
    3. Bookstore Merchandise for resale
    4. Agricultural purchases for feed, breeding stock, livestock, and related supplies
  7. Petty Cash
    Purchases may be made via Petty Cash and are limited to $100 per person per day, and are subject to CPC purchasing guidelines
  8. Standing Purchase Orders
    Standing purchase orders may be used for routine, repetitive purchases from the same vendor. Standing POs may not be used to purchase equipment, or a single purchase over $5,000, or to circumvent the purchasing policy. Standing POs shall be reviewed on an annual basis for appropriateness.
  9. Confirming Purchase Orders
    Confirming purchase orders may be approved under unusual circumstances when time is of the essence. It is not to be used to circumvent the purchasing policy.
  10. Purchasing Authority & Approvals
    1. Only authorized signatories of an account may request an expenditure of funds from their account.
    2. CPC Policy No. 103 for Delegation of Signature limits who is authorized to sign agreements for purchases or other purposes. Having authority to expend funds from their account through a purchase order or check request does not give that person authority to sign purchase agreements or enter into contracts on CPC’s behalf.
    3. For accounts with budgets, prior management approval by CPC fiscal management is required if a contemplated purchase is outside the approved operating budget of the requested operation or budget.
  11. 11. Purchasing Approval Limits
    1. Purchase of $5,000 or less may be approved by the appropriate budget manager, administrator, or their designee
    2. Purchases in excess of $5,000 must receive approval of the CPC fiscal authority, which includes the Executive Director, the Associate Executive Director, Finance & Business Operations, or their designee
  12. Requirements for Invoice and Check Request Processing
    1. Original Invoices
    2. Original Packing Slips
    3. Appropriate key-object code accounting for purchase type
    4. Appropriate approvals as outlined for purchasing
      1. Any signatory on an account receiving direct benefit, including reimbursements will require next level approval. Direct benefit reimbursements are such things as registrations, travel, memberships, subscriptions, etc.
    5. Appropriate use of funds as outlined
    6. Appropriate Government requirements
      1. CA Sales/Use Tax
      2. CA Withholding at Source
      3. IRS Non-Resident Alien (NRA)
      4. 1099
    7. Donations to religious or political organizations must be approved by Associate Executive Director of Finance or Designee
    8. Purchases of merchandise using University trademarks or logos must be purchased from a vendor registered with Collegiate Licensing Company
    9. For services only, where merchandise is not being purchased, if any Cal Poly logo is involved, approval must be obtained from Public Affairs.