Procurement Policies for BSU and NTC

Please remember that BSU and NTC procurement guidelines apply to all BSU and NTC purchases, whether by purchase order or p-card and regardless of the type of account (i.e. 9 ledgers, summer session profit accounts, grant accounts, etc.).

If you have questions, please contact Dana Danielson (218) 755-2044.

NOTE: Once you submit a requisition and all of the required documentation to the Procurement Office, please allow additional time for a purchase order to be generated to the vendor.

State Law Regarding Encumbrance of Funds

Minnesota law requires the encumbrance of funds before an order is placed, or services are rendered. Do not place an order or allow work to begin before a purchase order (PO) is fully processed and released to vendor. In addition, contracts must be fully signed and funds must be encumbered by a purchase order before any work begins under the contract. Anyone who violates this requirement will be required to explain why they violated Minnesota Statutes 16A.15, Submision 3 using the After the Fact 16A Form. These forms are tracked and reported to Administration annually.

Sales Tax

Minnesota State Colleges and Universities is generally exempt by Minnesota Statute from sales tax on purchases. However, purchases of motor vehicles, meals and lodging are generally not exempt from sales tax.

In order for purchases to qualify for exemption, the purchases must be made by Minnesota State Colleges and Universities directly; employee purchases are not exempt from sales tax if paid for with individual funds.

Individuals may be subject to penalty if they use Minnesota State Colleges and Universities certificate of exemption incorrectly for personal purchases.

MinnState Board Policies

All Board Policies can be found at Minnesota State – A System of Public Colleges and Universities use the magnifying glass to search for the policy you are looking for. You can also contact procurement@bemidjistate.edu.