Reviewing the Invoice

If a request for an invoice is received, direct the requester to the supplier. If the requester cannot obtain the invoice from the supplier, refer to section 1.8.2 of the "OBM Public Records, Retention, and Dissemination Policy" for further instructions on handling the request.

• What is an invoice?What is an invoice?

  An invoice or bill is a document issued by a seller to the buying agency, indicating the products, quantities, and agreed prices for products or services the seller has provided to the buying agency.

   

  An invoice indicates the buying agency must pay the seller, according to the payment terms. The buying agency has a maximum amount of days to pay for these goods and/or services and is sometimes offered a discount if paid before the due date.

   

  For more information on what makes a "proper invoice" visit Understanding Invoices in the OAKS FIN Process Manual.

  • Legal ReferencesLegal References
    • Ohio Revised Code (ORC) 125.01 (B) defines an "Invoice."
    • Ohio Revised Code (ORC) 126.30 governs interest on late payments for goods and services.
    • Ohio Administrative Code (OAC) 126-3-01 covers prompt payment requirements and procedures regarding notification requirements for incorrect or invalid invoices.
    • Ohio Administrative Code (OAC) 126-3-01 (A)(4) defines an "invoice."
    • Ohio Administrative Code (OAC) 126-3-01 (A)(5) defines the "receipt of a proper invoice."
    • Ohio Administrative Code (OAC) 126-3-01 (B)(4)(b) details actions that are taken when a state agency is in receipt of a defective or improper invoice.
• Explore parts of a typical invoiceExplore parts of a typical invoice.

  Explore the invoice below by clicking on the boxed areas.

   

  

   

   

   

• Invoice Examples

• If a received invoice image has multiple issues, refer to "Working an Exception Code 24: Multiple Issues."

• If an agency requests that an invoice be returned, refer to "Working an Exception Code 25: Per Agency Request."

Steps

1. Review the invoice image and ensure it is free from defects, errors, discrepancies, and other improprieties.
   • The following critical information is required to process an invoice:
     • Supplier name, address, and remittance address,
     • Agency (i.e., bill to or buyer) name and billing address,
     • Itemized detail to identify purchased equipment, materials, goods, supplies, or services (including taxes if relevant), and
     • Invoice amount (i.e., total amount charged).
   • Confirm alignment with the "OAC Prompt Payment Requirements."
2. If processing a Summary/Consolidated Invoice, verify the followingverify the following.

   1. Verify that the summary/consolidated invoice adheres to the "Invoices" SAFE Policy and a separate invoice/folio is attached for each invoice/folio listed on the Statement Invoice. If not, follow the Working an Exception Code 31: Statements process.

   2. Check each individual invoice listed in the statement to ensure they were not already paid. Any individual invoices that have already been paid should be excluded from the total.

   3. Review the summary invoice to ensure it contains a quique invoice number assigned by the supplier.

   4. For invoices from the Ohio Attorney General that summarizes Outside Counsel Approved Invoices, create the voucher using the approval letter as the invoice. Refer to Determining Invoice Number for steps on creating the Invoice Number.

3. If it appears that the image is not an invoice, refer to "Working an Exception Code 08: Not an Invoice".
4. Unless the invoice is for goods or services described in the "Pre-payment of Expenses" section of the "Vouchers and Expenditures SAFE Policy," if an invoice date is greater than 3 business days as of the current day, refer to "Working an Exception Code 10: Future Dated Invoice."
5. If the invoice appears to have been previously paid by Pcard (i.e., the invoice reflects a credit card payment), refer to "Working an Exception Code 11: Pcard Paid."
6. If a scanned invoice image contains more than one invoice, is illegible, or missing pages, refer to "Working an Exception Code 13: Rescan Mail."
7. If any of the issues below are encountered, refer to "Working an Exception Code 16: Improper Invoice frames."

8. If the image was already paid through EDI, refer to "Working an Exception Code 17: Agency to Process."
9. If the image is a credit memo that is not accompanied by the invoice that should receive credit, refer to "Working an Exception Code 19: Credit Memo."
10. Can the invoice be processed?
    • Yes - Refer to "Determining Next Steps."
    • No - Refer to the "AP Exception Codes Quick Reference Table."