Vendor Vendor Payments Payments

UsingUsingePayablesePayables

1.1. A process to pay vendors via virtual credit cards A process to pay vendors via virtual credit cards

2.2. A program that generates credit card rebates for the A program that generates credit card rebates for the University from vendor payments University from vendor payments

3.3. A payment method that A payment method that reduces paper and its reduces paper and its related handling requirements related handling requirements

• For vendors not in ePayables program – nothing For vendors not in ePayables program – nothing changes changes

• Purchases are still made via Purchase Order Purchases are still made via Purchase Order (PO) or Payment Request Document (PRD)(PO) or Payment Request Document (PRD)

• Vendors invoice is receivedVendors invoice is received and processed in SAPand processed in SAP

• UK eliminates paper checks and related UK eliminates paper checks and related processing costs processing costs

• UK receives a rebate from the bankUK receives a rebate from the bank

• Vendors receive their paymentsVendors receive their paymentsmore quickly than if paid by more quickly than if paid by checkcheck

• 358 vendors have joined ePayables program358 vendors have joined ePayables program

• Two more enrollment phases remain to enroll Two more enrollment phases remain to enroll vendors with a goal of 500 vendors enrolledvendors with a goal of 500 vendors enrolled

Total Request Forms Received FY 2013-2014 564FY 2012-2013 586

Total Number of Exception ReasonsFY 2013-2014 622FY 2012-2013 635

Number 1 Reason ……….

Travel reimbursement over 60 days 22%

DispositionForm Count

Reason Count %

Approved 528 582 94%Not Approved 13 14 2%Not Needed 13 15 2%Pending Review 3 4 1%Withdrawn 7 7 1%Grand Total 564 622

Forms with Reduction Reduction

30 2,547$

30 2,547$

Unit Form Count Reason CountCollege of Agriculture 59 67College of Arts and Sciences 66 72Gatton College of Business and Economics 28 29College of Communication and Information 7 7College of Dentistry 13 14College of Design 1 1College of Education 19 19College of Engineering 24 28College of Fine Arts 15 16College of Health Sciences 6 7College of Law 26 30College of Medicine 113 121College of Nursing 13 14College of Pharmacy 23 27College of Public Health 11 11College of Social Work 8 8Multidisciplinary Graduate Programs 2 2Provost - Support Units 46 53UKHC 46 53Research Units 14 16President/EVPFA area 24 27Grand Total 564 622

% Approved Reduction97% 385.76$ 97% 418.79$

100% 25.00$ 71%92%

100%89%92% 223.16$ 80%

100%88% 817.03$ 96% 169.34$

100% 70.64$ 96% 169.93$ 91%88%

100% 42.62$ 85% 30.60$ 89% 170.23$

100%100% 23.92$

94% 2,547$

By Reason Number% of Total Request Approved Not Approved

Not Needed Withdrawn

Pending Review Reduction

Reimbursement request must be submitted to Accounts Payable to be paid within 60 days of travel return date 137 22% 135 2 $403.46Airline ticket purchased from alternate vendor must be supported by UK Travel cost comparison 75 12% 73 1 1 $99.34Airline ticket purchased combining business with personal travel must be supported by UK Travel cost comparison showing business travel airfare only 71 11% 67 3 1 $910.19Payroll charges may not be transferred after retroactivity date 63 10% 57 5 0 1Other travel 62 10% 58 3 1 $327.66Other 60 10% 50 5 3 1 1Private vehicle mileage over 400 miles (one-way) to destination must be supported by UK Travel airfare cost comparison 37 6% 36 1 $1,280.82Checks must be mailed (if check pick-up is requested, include the person’s name who will pick it up in the justification) 33 5% 31 0 2Airline ticket combining business and personal travel purchased with procurement card 20 3% 18 2 $242.20Procard exception 19 3% 18 1 0 $34.00Airline ticket purchased through alternate vendor must be purchased with personal funds 14 2% 12 1 0 1 $23.92Reimbursement amounts for foreign lodging is limited to federal per diem rate (advance approval required) 14 2% 12 0 1 1Memberships 9 1% 7 1 0 1Lodging within 40 miles/meals with no overnight stay 7 1% 7 0Year end issues 1 0% 1 0Grand Total 622* 622 582 14 15 7 4 $3,321.59

* A total of 564 request were received however 52 requests were for 2 or more reasons for a total of 622 individual reasons requested.

70.3% are Travel Related !

FY 2013

% FY 2014 %

Total PRDs (Approved and Rejected)

55,518 66,581

Increase from Prior Year 16.6%

Based on creation date

1,304 more PRDs rejected38.9% increase

In FY 2013 33.4% of all rejected PRDs were caught by the departmentCompared to only 19.2% in FY 2014

79.2% of PRDs with errors were not detected until the Accounts Payable review

Based on creation date

63,232 PRDs APPROVED 9,759 increase from FY 2013

up 18.3%

88% paid within 10 days compared to 92% in FY 2013

98% Approved by AP within 10 days of receiving the document compared to 98% in FY 2013

Based on creation date

Business Class tickets and/or seat charge expenses will be reimbursed when travel requires uninterrupted flight

service of 8 hours or more

Example –

From Detroit to Shanghai nonstop (no connections) taking 14 hours

Expenses related to seat charges to secure a confirmed seat assignment

will be reimbursed

• TRIP

• Change in base pay

• Approval table in SAP

• Discretionary Spending

• Student Payments/Awards