Announcements - Purchase Orders

Liquidation Issues on Purchase Orders (POs) and Requisitions (reqs)

All agencies must confirm POs have a “Valid” budget status before manually closing or canceling POs and requisitions.

Non Pre-Encumbering Agencies:

  • Verify the PO budget status is “Valid” before closing or canceling.

Pre-Encumbering Agencies:

  • Verify the PO budget status is “Valid” before closing or canceling.
  • Verify the Requisition budget status is “Valid” before closing or canceling.
  • Unsourced Requisitions (those that did not source to PO) must be canceled.  Once the req is canceled, it may be closed.

NoteClosed POs may be re-opened provided they were not previously ‘canceled’ and available budget exists.  Log a ManageEngine Service Desk ticket, using the title “Re-open PO” to request a PO be re-opened.

Background Information:

When a PO is canceled with a Budget Status of ‘Not Checked’, for both non pre-encumbering and pre-encumbering agencies, encumbrances are established during the hourly batch process for the canceled PO.  The hourly batch process for budget check is searching for a Budget Status of ‘Not Checked’ for PO statuses that include Canceled.

For a pre-encumbering agency, when the encumbrance is not established on the canceled PO, the original requisition encumbrance is never moved to the PO. Therefore, pre-encumbering agencies are left with two encumbrances, one on the canceled PO and one on the requisition.

When a requisition has been budget checked for pre-encumbering agencies and is closed, the Budget Status is not being flipped to ‘Not Checked’. As a result, the encumbrance is not being released. Canceling the requisition will allow the Budget Status to be flipped to ‘Not Checked’ and then budget check will release the encumbrance.

Please submit a ManageEngine Service Desk ticket if a closed or canceled PO or Requisition is not fully liquidated.