POLICY FINANCES
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PURCHASES BUDGETED
Committee Review: Operations Committee 11.21.22
First Reading: 11.28.22
Second Reading:
The district auditors recommend that we update this policy. It is recommended that we replace the old policy with this most
updated Strauss Esmay version of the policy.
Purchases Budgeted
The Board of Education directs the establishment of procedures for the purchase of budgeted
goods and services that will make prudent use of district resources and yield the maximum value
for the school district. The School Business Administrator shall authorize all purchases that are
within a budget line item and are consistent with the purpose for which the funds were
appropriated
No purchase order may be placed until the Business Office has determined whether the proposed
purchase is subject to bid, whether sufficient funds exist in the line item, and whether the goods
are available elsewhere in the district.
Whenever the estimated value of a purchase or contract for goods or services other than
professional services N.J.S.A. 18A:18A-5(1) and work by employees of the Board N.J.S.A.
18A:18A-5(3) is fifteen percent or more of the bid threshold established in accordance with
N.J.S.A. 18A:18A-3 and N.J.S.A. 18A:18A-37 and is not made under a state contract or approved
cooperative purchasing agreement, the purchasing agent shall, whenever practicable, solicit at
least two quotations from independent vendors. All quotations received will be attached to and
retained with a copy of the voucher used to pay the vendor.
The purchase or contract may be awarded on the basis of the lowest responsible quotation
received or to the vendor who submits the quotation most advantageous to the Board on the
basis of price and other factors. If it is determined that it is impractical to seek quotations for an
extraordinary, unspecifiable service or that the purchase or contract for which quotations were
sought should not be awarded on the basis of the lowest quotation received, the reasons for that
determination will be set forth in writing and attached to the resulting purchase order or contract.
Supplies commonly used in the various schools will be standardized to the extent that it is
educationally feasible to do so. Alternate suggestions will be made to a requisitioner if better
service, delivery, economy, or utility can be achieved by a change in the proposed order.
When a purchase order is placed or a contract entered, the Business Office shall commit the
expenditure against a specific budget line item or project category in order to guard against the
creation of liabilities in excess of appropriations.
N.J.S.A. 18A:18A-1 et seq.; 18A:18A-37; 18A:22-8
N.J.A.C. 5:34-2.1; 5:34-2.2
POLICY FINANCES
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PURCHASES BUDGETED
The Board of Education considers the budget to be a controlled spending plan for the ensuing year. The
Board Secretary/School Business Administrator is authorized to make expenditures and commitments in
accordance with and in harmony with the policies of the Board and administrative regulations of the
district. Except in emergencies or for reasons of economy, the purchase of major pieces of equipment or
other capital expenditures shall be scheduled so that annual budgetary appropriations for these purposes
either will be of similar size or will show a continuous trend without severe fluctuations.
No purchase order may be placed until the Superintendent has determined whether the proposed
purchase is subject to bid, whether sufficient funds exist in the line item, and whether the goods are
available elsewhere in the district.
Whenever the estimated value of a purchase or contract for goods or services other than professional
services is twenty percent or more of the bid threshold established in accordance with law and is not
made under a state contract, the Board Secretary/School Business Administrator shall, whenever
practicable, solicit at least three quotations from independent vendors. All quotations received will be
attached to and retained with a copy of the resulting purchase order or contract. The purchase or
contract may be awarded on the basis of the lowest responsible quotation received or to the vendor who
submits the quotation most advantageous to the Board on the basis of price and other factors. If it is
determined that it is impractical to seek quotations for an extraordinary, unspecifiable service or that the
purchase or contract for which quotations were sought should not be awarded on the basis of the lowest
quotation received, the reasons for that determination will be set forth in writing and attached to the
resulting purchase order or contract.
Except as otherwise provided in these policies, no individual Board member or member of the
administration or other Board employee shall commit the Board to expenditures or liabilities for which the
Board has not given prior approval. Nothing is to be ordered by school personnel without an official
purchase order.
Supplies commonly used in the various schools will be standardized to the extent that it is educationally
feasible to do so. Alternate suggestions will be made to a requisitioner if better service, delivery,
economy, or utility can be achieved by a change in the proposed order.
Proposed expenditures, in conformance with the State Department's chart of accounts, shall be
budgeted under and actual expenditures shall be charged against those categories which most
accurately describe the purposes for which such moneys are to be or have been spent. Wherever
appropriate and practicable, salaries of individual employees, expenditures for single pieces of
equipment, and the like, shall be prorated under the several categories which most accurately describe
the purposes for which such moneys are to be or have been spent. It shall be the responsibility of the
Board Secretary/School Business Administrator to administer this policy.
Adopted: 13 December 1971
Revised: 22 April 1985, 19 February 1990
