These guidelines have been developed for Faculty members who initiate the purchase of livestock for research and teaching purposes and for the IANR Business Centers and University Procurement staff who process the supplier payments. As the Faculty member anticipates livestock purchases, this document outlines the Standard Operating Procedure (SOP).
The University of Nebraska, as Buyers of livestock (purchasers), must comply with the Packers and Stockyards Act (P&S Act) (Source: USDA “Prompt Payment for Livestock Purchases”). The P&S Act requires that livestock buyers must deliver full payment to the Seller (aka Supplier), or to an authorized representative, at the point where livestock possession is transferred.
If the University is unable to provide payment at point of transfer, we are required, with due diligence, to process the payment as expeditiously as possible. The following guidelines have been developed to meet the prompt payment objective of the P&S Act:
Livestock Purchases $25,000 or Greater
1. The Faculty member responsible for the project or purpose must obtain written approval to purchase livestock from the appropriate cognizant Unit Leaders (i.e., Department Head/Director and, when applicable, the Research, Extension and Education Center (REEC) Director) and the IANR Dean (i.e., Agricultural Research Division (ARD) or College of Agricultural Sciences and Natural Resources (CASNR)). [Note: Send one email to both parties instead of separate emails.]
- The Faculty member will forward the approval to purchase email to the Business Center Manager. The Business Center will hold and compare approval documentation with invoice(s) submitted by Faculty.
- The Faculty member is responsible for ensuring the number of animals bought or the price paid does not surpass the approved quantity or budget set by the Dean.
If a livestock purchase agreement is required, the agreement must be sent to the Business Center. It will be submitted for review by Procurement. Pursuit to Board of Regents Executive Memorandum No. 14, ARD Dean has been delegated by the UNL Chancellor authority to sign contracts for livestock and livestock feed (purchases and sales) up to $75,000.
University Procurement has granted IANR approval to purchase livestock up to $50,000 without providing comparable quotes or non-competitive documentation.
2. At least one month prior to payment, Faculty members are required to notify their IANR Business Center Manager of their plan to purchase livestock and provide the Seller’s name, contact information (i.e., email address, phone number), estimated total cost, and projected payment date.
Since the State of Nebraska requires supplier payments $25,000 or greater to be paid via electronic means, Sellers must be enrolled in the Automated Clearing House (ACH) funds transfer system. The Business Center will determine whether the Seller is setup in the University’s Ariba payment system.
- If the Seller has previously registered in Ariba and is setup with ACH, no further action needed by the Seller.
- If the Seller is in Ariba but not setup to accept ACH payments, the Seller will need to complete the UNL ACH Enrollment Form (available in SAPPHIRE).
- If the Seller is not setup in Ariba, the Business Center will submit a new supplier request. The Seller will need to click on the Ariba email link to complete the registration details and the ACH enrollment information. Setting up a new or existing Supplier to accept ACH payments may take a minimum of 10 business days once all the information is received from the Seller.
3. When the Seller’s invoice is received, the Faculty member will review the livestock purchase details for approval consideration.
- The Faculty member will sign the invoice to approve payment and write the business purpose description and the cost object number in which to fund the purchase.
- The approved invoice must be delivered promptly to the Business Center on the day of or the next business day following the livestock delivery/possession transaction.
4. Immediately upon receipt, the Business Center will enter invoice(s) into SAP Ariba following these instructions:
- Supplier Invoice # (entry field only allows16 characters): Include Supplier Name (may need to be shortened) followed by a hyphen and invoice number (BLACKBURN-265). If there is no invoice number, suggest using first three letters of the name of the month and date of purchase (BLACKBURN-APR19).
- Use GL #531506 Livestock Animal Purchases
- In Comments Box, write “Pay immediately, livestock purchase”
- Write the Ariba generated invoice request number on the invoice (example INVBLACKBURN-265-3993).
5. The Business Center scans the invoice to an Adobe PDF file. The invoice along with the Dean’s purchase approval email is uploaded into Ariba. The Business Center will send a purchase notification email to the respective Business Center Manager and the following Procurement (P2P) Team members: sydney.zach@nebraska.edu, courtney.schaffert@nebraska.edu and claireschwinck@nebraska.edu; a copy to lynn.mcalpine@nebraska.edu.
- Email subject line should read "URGENT Invoice – Livestock Purchase” and reference the Ariba document number in the subject line.
- Include a short narrative within the body of the email, such as “IMMEDIATE PAY: Attached invoices Ariba INV (Invoice Number or Name) for purchasing (number) of (type of livestock). Please process payment via ACH to (insert Ariba Supplier Number and Supplier Name).”
6. The Business Center will email copies of the livestock purchase invoices to the Institutional Animal Care and Use Committee (IACUC) addressed to Megan Ebbers (mebbers2@unl.edu), Assistant Director, Institutional Animal Care Program (IACP), and Jessica Jones (jjones12@unl.edu), IACP Specialist. The Business Center will also provide a courtesy copy to the Faculty member to verify that IACUC has been notified.
Suggested IACUC email subject line elements:
- Department Name and/or Research Center Location
- Description of Livestock followed by the words “Purchase Invoice”
Email subject line example: PREEC Steers Purchase Invoice
7. The Business Center will monitor the SAP Ariba “Approval Flow” daily until it is verified that the invoice(s) were approved and the “Reference” status shows paid. The expectation is prompt ACH payment by UNL to meet the P&S Act objective. If the payment transaction does not reflect a paid status within four (4) business days of the final Ariba processing approval step, the Business Center will send an email to the P2P team members listed in Step #5.
Livestock Purchases Less Than $25,000
1. At least one month prior to payment, Faculty members are required to notify their department’s IANR Business Center Manager of their plan to purchase livestock and provide the Seller’s name, contact information (i.e., email address, phone number), estimated total cost, and projected payment date.
University Procurement has granted IANR approval to purchase livestock up to $50,000 without providing comparable quotes or non-competitive documentation.
2. The Business Center will determine whether the Seller is setup in SAP Ariba.
- If the Seller has previously registered in Ariba and is setup with ACH, no further action needed by the Seller.
- If the Seller is in Ariba but not setup to accept ACH payments, the Seller will need to complete the UNL ACH Enrollment Form (available in SAPPHIRE).
- If the Seller is not setup in Ariba, the Business Center will submit a new supplier request. The Seller will need to click on the Ariba email link to complete the registration details and the ACH enrollment information. Setting up a new or existing Supplier to accept ACH payments may take a minimum of 10 business days once all the information is received from the Seller.
3. After the Business Center confirms with the Faculty member that the supplier is set up in the system, the Faculty member completes a livestock purchase transaction with the Seller.
4. When the Seller’s invoice is received, the Faculty member will review the livestock purchase details for approval consideration.
- The Faculty member will sign the invoice to approve payment and write the business purpose description and the cost object number in which to fund the purchase.
- The approved invoice must be delivered promptly to the Business Center on the day of or the next business day following the livestock delivery/possession transaction.
5. Immediately upon receipt, the Business Center will enter invoice(s) into SAP Ariba following these instructions:
- Supplier Invoice # (entry field only allows16 characters): Include Supplier Name (may need to be shortened) followed by a hyphen and invoice number (BLACKBURN-265). If there is no invoice number, suggest using first three letters of the name of the month and date of purchase (BLACKBURN-APR19).
- Use GL #531506 Livestock Animal Purchases
- In Comments Box, write “Pay immediately, livestock purchase”
- Write the Ariba generated invoice request number on the invoice (example INVBLACKBURN-265-3993).
6. The Business Center scans the invoice to an Adobe PDF file. The Business Center will send a purchase notification email to the respective Business Center Manager and the following Procurement (P2P) Team members: sydney.zach@nebraska.edu, courtney.schaffert@nebraska.edu, and claireschwinck@nebraska.edu; a copy to lynn.mcalpine@nebraska.edu.
- Email subject line should read "URGENT Invoice – Livestock Purchase” and reference the Ariba document number in the subject line.
- Please include a short narrative within the body of the email, such as “IMMEDIATE PAY: Attached invoices Ariba INV (Invoice Number or Name) for purchasing (number) of (type of livestock). Please process payment via ACH to (insert Ariba Supplier Number and Supplier Name).”
7. The Business Center will email copies of the livestock purchase invoices to the Institutional Animal Care and Use Committee (IACUC) addressed to Megan Ebbers (mebbers2@unl.edu), Assistant Director, Institutional Animal Care Program (IACP), and Jessica Jones (jjones12@unl.edu), IACP Specialist. The Business Center will also provide a courtesy copy to the Faculty member to verify that IACUC has been notified.
Suggested IACUC email subject line elements:
- Department Name and/or Research Center Location
- Description of Livestock followed by the words “Purchase Invoice”
Email subject line example: Animal Science Steers Purchase Invoice
8. The Business Center will monitor the SAP Ariba “Approval Flow” daily until it is verified that the invoice(s) were approved and the “Reference” status shows paid. The expectation is prompt ACH payment by UNL to meet the P&S Act objective. If the payment transaction does not reflect a paid status within four (4) business days of the final Ariba processing approval step, the Business Center will send an email to the P2P team members listed in Step #6.