The foundation for an Owner-Direct Purchase Program
The foundation for an Owner-Direct Purchase Program is the sales tax exemption for sales of tangible personal property made directly to a public owner.
Why Blue Rover Management and Construction Group?
Best Practice Procedures: Includes but are not limited to
Direct Purchase Order
- The public owner must issue a purchase order directly to the vendor that sells the materials and provide the vendor with a copy of the public owner’s Florida Consumer Certificate of Exemption. In practice, the public owner can be expected to need instruction from the contractor on the specifics of what is being purchased. It is suggested that a reasonable degree of cooperation must occur between the public owner and contractor on descriptions and technical information on items purchased.
- The vendor’s invoice for materials must follow the direct sale and be issued to the public owner, not the contractor or subcontractor. This is sensible since the public owner itself is making the purchase from the vendor. Neither the contractor nor subcontractors can sell the direct purchased materials and then install those materials.
Direct Purchases Process
- Direct Invoice and Direct Payment: Payment of the vendor’s invoice must be made directly to the vendor by the public owner from public funds. Compliance is not achieved by the contractor or a subcontractor issuing payment for the public owner. This means the contractor or subcontractor cannot include sums in its pay applications for direct purchases and then pay the vendor from sums received from the public owner when the pay application is paid.
Benefits and Importance of Efficiency: Includes but are not limited to
- Thoroughness, timeliness, and execution key skills required to master stage success.
- Holds ground for building relationships and serves as last impression.