9.71 Prepayment/Payment in Advance

Purpose

To establish guidelines for purchases that require prepayments or payments in advance of receiving an order.

Policy Statement

Prepayment or payment made in advance before the benefit is received, is not encouraged, but may be authorized by the Purchasing Manager, or designee, when payment is clearly required by a vendor before goods or services can be obtained and/or payment is determined to be in the best interest of the University and the State of Iowa. Unusual situations should be brought to the attention of the Director of Business Operations and/or the Senior Vice President, Finance & Operations.

Procurement Services, Office of Business Operations, approved August 22, 2018
University Council, approved November 12, 2018
President and Executive Management Team, approved December 10, 2018