ESTABLISHMENT AND FUNCTION OF THE SUPPLY DIVISION SMALL PURCHASES BRANCH

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP78-05399A000100010037-5
• Release Decision: RIPPUB
• Original Classification: C
• Document Page Count: 11
• Document Creation Date: November 16, 2016
• Document Release Date: March 15, 2000
• Sequence Number: 37
• Publication Date: July 26, 1974
• Content Type: REGULATION

Approved For Release 2000/05/08 : CIA-RDP78-05399A000100010037-5
C-O-N-F-I-D-E-N-T-I-A--L
25X1A
25X1A
25X1A
25X1A
INSTRUCTION NO.
LI 45-20
LI 45-20
LOGISTICS
26 July 1974
SUBJECT: Establishment and Function of the Supply Division Small
. Purchases Branch
1. PURPOSE
This instruction formalizes the establishment of a Small Purchases
Branch (SPB) within the Office of Logistics, Supply Division,
provides policy governing the operation of the SPB in support of
customer requirements.
(OL/SD/CD), structure effective 15 August 1974, and
2. SCOPE
a. The basic function of the SPB will be procurement of low-cost
(usually $200 or less), common items
which will be handled under an :imprest fund and outside the
formalized Property Procurement Allotment/Property Requisi-
tioning Authority (PPA/PRA) and Financial Property Account-
ability (FPA) systems.
b. The SPB will not handle, or otherwise accept, requests for:
(1) Materiel presently available in Agency stocks.
(2) Items peculiar to the Agency.
(3) Items listed in
(4) Drugs or medicines.
(5) requirements.
(6) Spare parts for generators and specialized serialized
equipment.
(7) Items requiring technical office research or test and
inspection.
C-O-N-F- I-D-E-N-T- I-A-L
E2 IMPDET
CL BY 014541
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C-O-N-F-I-D-E-N-T-I-A-L
INSTRUCTION NO. LI 45-20
LI 45-20 LOGISTICS
26 July 1974
(8) Items that would not normally be purchased by the
General Services Administration (GSA).
(9) Items requiring more than 30 days to complete action
from receipt of the request to shipment.
(10) Accommodation or reimbursable procurements.
25X1 C
25X1A
3. GENERAL
b. Customer requests may be submitted on a single sheet xeroxed
copy of the Form 88 (preferred), by memorandum, letter, dis-
patch, or cable. Cables and dispatches intended for SPB
action must contain the indicator. Customers
will be required to clearly annotate all requisitions,
including those forwarded by letter or memorandum, with the
legend "FOR SPB--NON FPA." Requisitions must cite the
appropriate Financial Account Number (FAN) for the funds to 75X1A
be used. SD will become the OL action component for
vice the Procurement Division, OL, as of 12 August 1974.
4. RESPONSIBILITIES AND AUTHORITIES
a. The Chief, SPB, will be responsible for procurement of
materiel within the restrictions as set forth in paragraph
2b above. Purchases will also be limited to items having
a unit cost of $200 or less with a further limitation of
$2,500 per line item or order to a single vendor. Purchases
will normally be made only within the Washington metropolitan
area. Any exceptions to the $200 limitation must be approved
by the Chief, CD.
b. The Chief, SPB, will maintain an imprest fund not to exceed
$40,000. Payments for purchases may be made by any of the
following methods, as appropriate:
C-O-N-F-I-D-E-N-T-I-A-L
2
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 Approved For Releasec3?0o'/fl0i1a8D-MP R')}Pth45399A000100010037-5
INSTRUCTION NO. LI 45-20
LI 45-20 LOGISTICS
26 July 1974
(1) By cash, check, or postal money order direct to
commercial vendors.
(2) On a cash basis to a GSA self-service store.
25X1C (3) f
c. The SPB will obtain receipts and/or other appropriate
documentation to support accountings for funds and will
account for such funds on a periodic basis in accordance
with Office of Finance (OF) instructions and procedures.
The accounts submitted will identify each expenditure by
customer Document Control Number (DCN) and FAN.
d. For each delivery or shipment, SPB will insert, in the number
one delivery or shipping container, one copy of the appro-
priate document identifying the transaction which will be
stamped "NON FPA" and which will be annotated with the
customer's DCN and FAN.
e. Accountings submitted to OF will have a certification by the
OL Approving Officer that this imprest fund is within the
scope of paragraph 2b of LI 45-20, and will identify each
purchase by customer-cited FAN and DCN. In entering the
transaction to the Cash Journal, SPB will cite the DCN in the
description column. OF will use "888888" as the obligation
reference number and will use Code 3 for recording all
expenditures which will obviate the need for budget officers to
record these obligations separately and individually.
f. In the event SPB receives a Headquarters- or field-originated
request for materiel it cannot procure or otherwise service,
it will notify the Headquarters customer component concerned
that the request or line item(s) has (have) been cancelled.
The operating component will then be responsible for initiation
of the requisition (Form 88) through normal channels to the
Supply Division, Central Control and Distribution Branch, for
the cancelled item(s), citing PRA in lieu of funds.
25X1A
Director of Logistics
Approved For Release 2000/05/08 : CIXRDP78-05399A000100010037-5
 Approved For Release 2000/05/08 : CIA-RDP78-05399A000100010037-5
C-O-N-F-I-D-E-N-T-I-A-L
INSTRUCTION NO. LI 45-20
LI 45-20 LOGISTICS
26 July 1974
Deputy Director tor ans an s ems
Office of Finance
7/
Date
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C-O-N-F-I-D-E-N-T'-I-A-L
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CONCERNING PROPOSED OL INSTRUCTION LI 45-2V
(Re Small Purchases Branch)
Certification and Liaison Comments:
1. Request instructions provide that the Imprest Fund accountings
submitted to C&LD contain a statement signed by the approving officer as
C G s.+e~-t // ~?--.~3 S 5... ~..,e i 1f`e-c~ l~ d % aw r i / V.W-."ss -
"This Imprest Fund accounting is within the scope of paragraph
2b of LI 45-20."
Reason: To facilitate certification of the account as C&LD
not in a position to verify that all the exlusions for
usage of the funds have been met.
Subparagraph 4e should be restated because reference to the
Obligation States Report (OSR) in connection with processing the accounting
appears to be incorrect as the OSR is an output of the computer system
and not used during the input cycle. Recommend paragraph 4e be worded
ccounting5submitted to OF will identify each purchase by
customer-cited FAN and DCN. TIn entering the transaction to the
Cash Journal, SPB will cite the DCN in the description column.
OF will use "888888" as the obligation reference number and will
use Code 3 for recording all expenditures which will obviate the
eed for budget officers to record these obligations separately
and individually.,
Note: The cash journal referred to above is Form 2773, Cash
;Journal - Special, which was used for the former GSA/SPU In?prest.
Fund. Transactions are key punched directly from Form 2773.)
as follows:
Approved For Release 2000/05/08 : CIA-RDP78-05399A000100010037-5
 Approved For Release 2000/05/08 : CIA-RDP78-05399A000100010037-5
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 25X1A
-Approved For Release 2000 O WQ8r.-O1,& P78-(k53,99A000100010037-5
INSTRUCTION NO. LI 45-,?,0
LI 45- LOGISTICS
4"i ti 4 1974
SUBJECT: Establishment and Function of the Supply Division Small
Purchases Branch
This instruction formalizes the establishment of a Small Purchases
structure effective 15 August 1974, and provides policy governing
the operation of the SPB in support of customer requirements.
2. SCOPE
a. The basic function of the SPB will be procurement of low-cost
Branch (SPB) within the. SupplyTDivisio n (-RD)
(usually $200 or less), common items which 25X1A
will be handled under an imprest fund and outside the
formalized Property Procurement Allotment/Property Requisi-
tioning Authority (PPA/PRA) and Financial Property Account-
ability (FPA) systems.
b. The SPB will not handle or otherwise accept, requests for:
(1)
Materiel presently available in Agency stocks.
(2)
Items peculiar to the Agency.
25X1A
(3)
Items listed in
(4)
Drugs or medicines.
25X1A
(5)
requirements.
0 4541-_;
Approved For Release 2090/05/B8L-O16WIP78-Q,5 ,99A b dui 66s7-i
 Approved For Release 2OOOt( T f AER ff- 5389A000100010037-5
INSTRUCTION NO. LI 45-
LI 45- LOGISTICS
12 August 1974
(6) Spare parts for generators and specialized serialized
equipment.
(7) Items requiring technical office research or test
and inspection.
(8) Items that would not normally be purchased by)'tS9
25X1 C
25X1A
(9) Items requiring more than 30 days to complete action
from receipt of the request to shipment.
(10) Accommodation or reimbursable procurements.
3. GENERAL
b. Customer requests may be submitted on a single sheet xeroxc.
copy of the Form 88 (preferred), by memorandum, letter, dis-
patch, or cable. Cables and dispatches intended for SPB
action must contain the indicator. Customers
will be required to clearly annotate all requisitions,
including those forwarded by letter or memorandum, with the
legend "FOR SPB*NON FPA." Requisitions must cite the
25X1A
appropriate Financial Account Number (FAN) for the funds to
C (_
be used. SD will become the Office of Logistics action com-
ponent for -vice the Procurement Division as of 12 August
C-O-N-F-I-D-E-N-T-I-A-L
Approved For Release 2000/05/08 : CIA-RDP78-05399A000100010037-5
 Approved For Release 2Q0?/I08 i -QIAEZ$-Q 9A000100010037-5
INSTRUCTION NO.
LI 45-
4. RESPONSIBILITIES AND AUTHORITIES
LI 45-
LOGISTICS
12 August 1974
a. The Chief, SPB, will be responsible for procurement of
materiel within the restrictions as set forth in paragraph
2(b above. Purchases will also be limited to items having
a unit cost of $200 or less with a further limitation of
$2,500 per line item or order to a single vendor. Purchases
will normally be made only within the Washington metropolitan
area. Any exceptions to the $200 limitation must be approved
by the Chief, CD.
b. The Chief, SPB, will maintain an imprest fund not to exceed
$40,000. Payments for purchases may be made by any of the
following methods, as appropriate:
(1) By cash, check, or postal money order direct to com-
mercial vendors.
(2) On a cash basis to a GSA self-service store.
(3)
25X1 C
c. The SPB will obtain receipts and/or other appropriate
documentation to support accountings for funds and will account
for such funds on a periodic basis in accordance with Office
(0 )
of Finance instructions and procedures. The accou tines sub-
.
mitted will identify each expenditure by customer,, CNkand FAN.
C-O-N-F-I-D-E-N??T-I-A-L
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 -Approved For Release 2O 0t(INs/b8I:-CtA-ff P7$:63' 99A000100010037-5
INSTRUCTION NO. LI 45-
LI 45- LOGISTICS
12 August 1974
d. For each delivery or shipment, SPB will insert, in the number
one delivery or shipping container, one copy of the appropriate
document identifying the transaction which will be stamped
"NON FPA" and which will be annotated with the customer's
!DCN'and FAN.
e. Accountings submitted to ^~i-nom-e (OFD. will identify
each purchase by customer-cited FAN and.DCN. In recording
the expenditure, OF will cite the DCN in the description
column of the Obligation Status Report (OSR) and will use
"888888" as the obligation reference number. OF will record
all expenditures by use of code 3 which will obviate the need
for budget officers to record these obligations separately
and individually.
f. In the event SPB receives a Headquarters-or field-originated
request for materiel it cannot procure or otherwise service,
it will notify the Headquarters customer component concerned
that the request or line item(s) has-been cancelled. The
,?Iperating..Component will then be responsible for initiation
of;,requisition (Form 88) through normal channels to the Supply
Division, Central Control and Distribution Branch, for the
cancelled item(s), citing PRA in lieu of funds.
MICHAEL J. MALANICK
Director of Logistics
C-O-N-F-I-D-E-N-T-I-A-L
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INSTRUCTION NO. '/~ LI 45-
LI 45- ,, z Jul- LOGISTICS
12 August 1974
25X1A Deputy Director for Plans and Systems
C-O-N-F-I-D-E-N-T-I-A-L
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