Insufficient Funds


To define a procedure for the processing of purchase requisitions when there are insufficient funds in the account to be used.


This procedure applies to all purchase requisitions received for encumbrance against state accounts.


A.  A funding source with a sufficient allocation to cover the amount of the purchase requisition must be used when creating an order (aka purchase requisition) within the KnightSource e-procurement system.  Because an order may take a few days to several weeks to process in Procurement Services, there is a chance that the funding source used to create the purchase requisition will no longer have a sufficient allocation to cover the amount of the order by the time the order is approved for processing in to a purchase order.

B.  If funds are not available at the time the purchase requisition is approved for purchase ordering processing by a buyer, the transaction will error and the requisition automatically will be returned to the ordering department electronically via KnightSource e-procurement system workflow to be re-submitted with a funding source that has sufficient allocation to cover the transaction.  

C.  If funds are temporarily unavailable, but will be forthcoming, the purchase requisition may be assigned to the Sr. Director of Accounting & Budgeting Services (in KnightSource) with a request for approval to override.  If the request for override is approved, the order will be approved for processing and forwarded to the Procurement Services Department.  

Last updated 10/27/2023