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The Vendor Handbook is a guide to help Mohave vendors provide quality goods and services to Mohave members throughout Arizona.
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TABLE OF
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DOWNLOAD PRINTABLE VERSION
» Vendor Handbook (PDF, 1.3 MB)
QUESTIONS ABOUT THE VENDOR HANDBOOK?
Please contact our Member/Vendor Services Assistant at (928) 753-6945.
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| Welcome To Mohave |
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Welcome to Mohave!
For nearly 40 years, Mohave Educational Services Cooperative has been growing and changing to meet the needs of our members. Among the many accomplishments, we are most proud of the quality of our contracts, the value they offer, and the service we have provided in managing and administering these contracts over the years.
As a Mohave vendor, you are an important part of our contracting program. We appreciate your willingness to join us in providing quality goods and services through Mohave contracts. Without you, members would not have such ready access to the effectiveness, efficiency and economy of cooperative purchasing.
A key feature of contracting is the partnerships that develop between the parties. Mohave is committed to strong partnerships that are based upon the highest levels of honesty and integrity. To achieve this, we ask that you and your staff join our commitment to fair, professional and ethical relationships between Mohave, our members, and our vendors.
An example of our commitment is the process change we implemented for member orders. We made the change at the request of our members and vendors. Members and vendors helped us develop the new process. We are confident that our members and vendors will help us make the new process successful.
If you are new to Mohave, please take the time to review this handbook and share it with your staff. Please know that our staff is available to provide training at your site or at our offices on any or all of this handbook.
If you are not new to Mohave, this handbook includes revisions associated with the member order process change. We encourage you to take a few minutes to review this handbook and share it with your staff in order for us all to be on the same page. We also extend our staff training services to you and your organization if you need them.
Whether you are new to Mohave, or a long time Mohave vendor, it is imperative that you and your staff comply with the terms and conditions in your contract. Our experience indicates that the best way to do this is by ensuring that all members of your staff have access to, and are familiar with, those terms and conditions.
Again, we want to thank you for making us a partner of choice now and in the future. We realize that we will only be successful if we continue providing our members with quality contracts from quality vendors. We are committed to doing that on a daily basis.
Thank you for your trust, and thank you for being a Mohave vendor.
Sincerely,
Tom Peeler
Executive Director |
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Introduction to Mohave |
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Welcome to the group of Mohave contractors serving agencies throughout Arizona. We look forward to working with you and your organization. We have prepared this guide to answer some of the most frequently asked questions about working with Mohave.
Mohave is a nonprofit corporation providing public procurement contracts for use by Arizona schools, government and eligible nonprofit organizations. As a public procurement unit, administrative fees paid by users fund Mohave. No direct tax dollars come to us.
Mohave’s administrative fee is one percent (1%) of the purchase price of ordered materials or services. The administrative fee is determined before deduction of any trade-in and/or rebate. The administration fee is not paid on the value of shipping charges, taxes, bonds, permits, etc.
The administrative fee is our means for supporting Mohave’s operations. The funds generated by that fee must be sufficient to pay for all salaries, facilities, vehicles, utilities, insurance, supplies, maintenance and repair, etc. Our history has demonstrated that 1% is the appropriate amount to meet this requirement and is lower than or equal to the fees charged by similar cooperatives around the nation. |
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| Now That I Have A Contract, What Do I Need To Do? |
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Start selling. The Mohave contract is a great sales tool, but the award itself does not guarantee any business. Mohave simplifies the purchasing process, making it easier for members to do business with you. However, we do not do marketing and it is up to you to make our members aware of your contract and the benefits they can derive from it. You can obtain member information by visiting our website at www.mesc.org.
Your contract contains terms and conditions that are binding upon you, Mohave and the buying member. To be successful, your representatives must be aware of those terms and conditions, as well as the products, services and prices that were included in the contract award. It is strongly suggested that you provide copies of the contract to all members of your firm that will be working with your Mohave contract. |
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| What Is The Procedure For Processing Purchase Orders? |
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Your contract has been assigned to one of Mohave’s procurement specialists who will coordinate and review member purchase orders for your company. You can find the name of the procurement specialist assigned to your contract by visiting the Product/Vendor Finder on our website. You may also call us at (928) 753-6945 for the information.
The ordering cycle is as follows:
- Provide the member with a quotation that includes product or service description, part number, MESC contract number, Mohave contract price, and the number of days the quotation is valid.
- The member issues a purchase order to your company BUT must send it and a copy of the quotation to Mohave, referencing your contract number.
- The procurement specialist reviews the member’s purchase order to determine if the purchase is allowable under our contracts. Based upon that review, Mohave stamps the purchase order with “MESC Reviewed” and then emails the purchase order to you and emails the member at the same time.
- Do not perform any work or order any products until you have received the “MESC Reviewed” purchase order.
Mohave assists members with purchase verification. However, it is the member’s responsibility to independently verify that quotations and purchase orders comply with the terms of the award of a contract or procurement. This responsibility is set by rule and statute, and cannot be changed by Mohave. Contract documentation files are available on our website to assist members in meeting this due diligence responsibility.
The procurement specialist assigned to your contract is committed to quick turnaround of orders. This means that the vendor will generally receive the “MESC Reviewed” purchase order within 2 business days. However, problems with the member’s purchase order (such as incorrect prices, including products or services that are not under contract, failing to attach your quotation, etc.) will delay processing. Peak ordering periods, such as the beginning and end of a fiscal year (June and July), may have longer order turn around time. Even during peak periods, your procurement specialist will make every effort to process all orders as quickly as possible.
If a member needs to change an order, they must do this in accordance with the above outlined information. Do not make changes to orders without prior approval from Mohave. |
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| Special Order Processing |
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Some orders, such as E-Rate, Lease, Direct Orders and Split POs, require special order processing. Instructions for processing such orders have been included in the exhibits at the end of this handbook.
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| Payments |
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Remember, you must only sell awarded materials and services under your Mohave contract. Contact us if you have any questions about what products or services are covered under your contract.
Invoices are billed directly to the Mohave member after products are shipped to, or services are performed for, the member. After receipt of the invoice, the member should pay that invoice within 30 days of receipt of the goods or services. Collections is a vendor responsibility. However, if your efforts to collect past due invoices are unsuccessful, you may contact Mohave for assistance.
Mohave procurement solicitations include provisions for vendors to offer prompt payment discounts. Members may participate in these discount programs and retain the savings made by the early payment. |
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| Contract Maintenance |
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It is essential that your Mohave contract contain current products and pricing at all times. It is your responsibility to keep the contract up-to-date.
Mohave produces pamphlets and uses our website to provide members with information about our contracts. To check your contract description, go to www.mesc.org and click on the “Product/Vendor Finder” link. In the Product/Vendor Finder search area, find your company’s name, highlight it, and click “Search.” A summary of your contract will appear. Contact Mohave’s Director of Contracting Programs to make revisions to your contract summary. Contract summaries should be of an informational, not promotional, nature.
In addition to keeping pricing and descriptions up to date, it is important to respond to all Mohave information requests promptly. As part of our commitment to protecting our members and vendors, we have an internal audit team that reviews random purchases, beyond our regular procurement purchase order reviews. This audit review will include a request for invoices, credits and/or clarification of transactions. |
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| Admin Fee Remittance |
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Admin fee for contract usage is due to Mohave after invoice payment has been received from the member.
Mohave will assign a monthly date when the Admin Fee Reconciliation Report (vs admin report) and remittance check are due.
Vendor will list the pertinent information of each invoice payment for the month, or submit no activity for the months when no payment has been made.
Credits and adjustments are also to be reported on the report.
These reports are to be sent to adminreport@mesc.org and send remittance check to Mohave's main office at 625 E Beale St Kingman, AZ 86401.
A sample reconciliation report is available as Exhibit 17, and a MESC Recon Report Tutorial is available in our training corner. |
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| Open Order Report |
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Each month Mohave will issue an Open Order Report to vendors listing the open member purchase orders listed in our system. Any invoices previously reported on an admin report will be listed and the balance remaining will be shown. Please review and respond to any information/corrections requested. Please use this tool to help you prepare your next monthly Admin Fee Reconciliation Report. |
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| Contract Examination |
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Mohave contracts are public documents. In accordance with Arizona law, they are available for inspection by interested parties, including competitors. Persons inspecting Mohave contract documents may also obtain copies of some or all pages, upon request. Contact Mohave’s Director of Contracting Programs for details on inspection of contract documents. |
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| Pricing |
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Mohave contract pricing can be fixed price, percentage off a specified price list, or a combination of both. If your contract uses a discount off a price list, you must provide us with new price lists as they are issued to you. New price lists are in effect upon Mohave’s approval of them. Each contract has an assigned contract specialist who will review your pricing updates, promotional pricing requests and help with contract questions. We are committed to quick review of pricing requests. Most are addressed within two to three business days. Contact your assigned contract specialist directly for questions about the contract’s terms, or for help with pricing updates.
Fixed price contracts must be updated with a complete price update on each anniversary of your contract. Generally, that is the only time fixed price contracts can be adjusted. However, in rare instances when a legitimate, demonstrable cost increase clearly affects the contractor’s ability to sell at the current price, Mohave may consider fixed price increases at times other than the contract anniversary. Fixed prices can be lowered at any time. See your contract for details on price changes.
All price changes are subject to Mohave’s approval. Price increases and reductions, special offers, quantity discounts, etc., must be received and approved by Mohave, before they are offered to members. All price reductions must be made available to all members and generally must be for 30 days or more.
Mohave is audited each year by an independent audit firm. In the course of the audit, prices on purchase orders will be randomly checked against our contracts. |
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| Product Additions/Deletions |
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Your Mohave contract allows you to add products or services as long the additions are within the scope of the contract, are similar to, or an extension of, the products or services originally awarded, and are priced or discounted at the same or to a greater degree as the original award. Mohave reserves the right to review proposed additions to contracts, and to accept or reject them as determined appropriate under the contract and in the members’ best interests. Please advise Mohave of discontinued products or services as soon as possible. |
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| Contract Renewal/Cancellation |
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Mohave is a self-supporting entity with finite resources. Therefore, we generally only renew the contracts that members use regularly. The following criteria have been established for renewing Mohave contracts.
- The vendor’s products must continue to meet the standards expected by members.
- The vendor’s service must continue to meet the standards expected by members.
- Acceptable pricing for the new item.
Mohave may choose not to renew a contract if:
- The vendor has experienced a change in ownership.
- The vendor fails to comply with the terms and conditions (incorrect quotes, performance problems, invoice problems, etc.)
- Mohave has experienced excessive difficulty administering or monitoring the contract.
Mohave may chose to cancel a contract if:
- The vendor has violated one or more terms, conditions or agreements under which the contract was awarded.
- The contract is subject to unresolved written complaints.
Contracts are subject to cancellation for contract violations. Offering products or services that were not included in the contract award, selling at non-contract prices, and having members send purchase orders for Mohave purchases directly to the vendor are all contract violations. Vendors must avoid such violations to ensure continuation of their contracts. |
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| Returns |
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Mohave has many contracts, each with a unique policy regarding returns. Regardless of your particular policy, all returns on products purchased under Mohave contract should be arranged through you and the terms of return must be clearly spelled out to the member. If there are problems in this process, you may contact your Mohave procurement specialist for assistance. After the member has met the requirements of your return policy and accepted the obligation to pay any restock fees, you should arrange for return of the product. |
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| Professional Organizations |
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Mohave is an active member of the Association of School Business Officials International (ASBO), Arizona Association of School Business Officials (AASBO), Arizona School Boards Association (ASBA), National Institute of Governmental Purchasing (NIGP), Arizona School Administrators (ASA), and other regional and national professional associations. We maintain membership in professional organizations to further the professional stature of our organization and to provide continuing professional development for our staff. |
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| Who Can Use Mohave Contracts? |
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A list of current Mohave members (approximately 350) is available on our website. Those members are eligible to purchase from Mohave contracts. Please contact us if you are unsure if a prospective customer is a Mohave member. Additionally, there may be other state, city, county, and other public groups that would like to use our contracts. If you become aware of those individuals or groups, please contact us. We will then contact and offer them an opportunity to complete the necessary Cooperative Purchase Agreement. |
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| What Is The History Of Mohave? |
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In 1971, the school districts in Mohave County established a career education program. Called the Mohave County Career Education Project, the program provided local schools with career days, field trips to work sites, career fairs, and media related to the world of work. In 1980, the state changed career education from discretionary grants to formula funding through the regular school budget. Only a handful of career education projects survived that funding change.
Because Mohave County Career Education had diversified into other programs, the schools in the county decided to keep the project alive. The name was changed to Mohave Educational Services Cooperative (Mohave, for short). Mohave operated through the Mohave County School Superintendent’s office.
In 1981-82, Mohave introduced local schools to educational software through the Minnesota Educational Computer Consortium (MECC). Mohave County districts were saving money on this software through the cooperative. When schools outside Mohave County inquired if they could be provided the same services, the Mohave County Attorney approved participation by other school districts, as long as they paid an administration fee that covered all our costs for providing them with services. Over the years, Mohave has expanded its contracting into other products and services for schools and non-school agencies throughout Arizona.
To fill the statewide need for equipment and services, Mohave has competitively solicited and awarded cooperative procurement contracts. Mohave follows the same rules and procedures our members must use to award procurement contracts. All members can order through Mohave using those contracts. This procedure, cooperative purchasing, saves members time and money. Since Mohave seeks prices for the entire state, vendors offer lower prices than they would on a single member's contract.
Using Mohave contracts, our members are able to purchase a variety of required materials, construction and services, with even the smallest member enjoying the purchasing power of the entire state. Taxpayers are saving money, and more materials to support important functions are available at reasonable prices.
In May 2004, legislation (HB 2181) was passed to allow agencies such as Mohave to provide public procurement services as state nonprofit corporations. In January 2005, Mohave’s articles of incorporation pursuant to A.R.S. § 11-952 and A.R.S. § 41-2632 become effective. Mohave Educational Services Cooperative, Inc., is governed under Title 10 of the Arizona Revised Statutes. As a public procurement unit, members can use Mohave contracts to procure products and services just as they did before the incorporation.
Effective January 1, 2008, Mohave implemented a new process change that allowed for purchase orders to be made out directly to the vendors. This had been requested for many years and the timing and situation became right to accomplish this change. After a year of training to vendors and members, Mohave began this process change. Among the major changes to this are the new invoicing and payment procedures as outlined in this revised handbook. Vendors are now invoicing members directly and members are now paying the vendors directly. Mohave’s staff is still reviewing purchase orders and conducting audits of orders; however, the vendors and members now have far greater roles in the process of using Mohave contracts. Mohave is still an integral part of contract administration and management as well as being available for any dispute resolution.
For nearly 40 years, Mohave’s staff has been dedicated to providing the finest service possible to our members. Our staff is qualified, trained and experienced. Several have achieved professional certification in their areas of expertise. Mohave has received the Annual Achievement of Excellence in Procurement Award® from the National Purchasing Institute (NPI) on four separate occasions. We have been successful in receiving this prestigious award each time we have submitted an application. Mohave has also received the NIGP Outstanding Agency Accreditation Achievement Award® which is effective until September 2010. Mohave has held this certification since September 2001. These awards were given in recognition of Mohave's professional purchasing program. |
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| Things To Keep In Mind: |
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Do:
- Sell your products and services using your Mohave contract.
- Keep your prices up-to-date.
- Advise us of any changes in your address, contact person, phone numbers, etc.
- Have members send their orders to Mohave, we then stamp “MESC Reviewed” and email you their PO.
- Invoice the member.
- Contact Mohave whenever you desire assistance with questions problems and/or disputes.
Do Not:
- Make changes to an order without permission from Mohave.
- Process or order anything for a member until you have the “MESC Reviewed” purchase order.
- Ask a member to send the purchase order directly to you.
- Invoice Mohave directly. The purchasing member should be invoiced.
- Quote items not yet approved by Mohave.
- Deduct trade-in/rebate before computing admin fee.
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Where Do I Go For Help?
Contract Questions
Purchase Order and Invoice Follow-up and/or Revisions
Accounting
Operations/General Questions
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Exhibits
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EXHIBIT 1
PURCHASE ORDER PROCESS FLOWCHART
Mohave Member Order Process
EXHIBIT 2
Mohave Member Order Process Notes
E-Rate Purchases
Mohave will invoice member for the admin fee. Member will make admin fee payment to Mohave.
Vendor will invoice Member for goods and services. Member will pay vendor.
Prices in the Erate contracts do not include admin fee. Vendor does not apply admin fee credit to invoices.
See Mohave’s Member or Vendor Handbook for complete instructions. The handbooks are available at www.mesc.org.
Service/Rental Purchases
Effective 7/1/08, the following information applies to service/rental purchase orders.
Members shall follow the regular Member Oder Process for service/rental purchases.
Member will not issue a separate purchase order for the admin fee. Mohave will not invoice for the admin fee.
Mohave’s admin fee will be included in vendor’s invoiced amount. Mohave’s admin fee will be included in Member’s
payment to vendor. Vendor remits admin fee to Mohave.
See Mohave’s Member or Vendor Handbook for complete instructions. The handbooks are available at www.mesc.org.
Financed (Lease) Purchases
The process for these purchases varies because of the following scenarios:
Purchase and financing under Mohave contracts, admin fee is included in financed amount.
Purchase under Mohave contract, financing under non-Mohave contract.
Financing under Mohave contract, purchase under non-Mohave contract.
See Mohave’s Member or Vendor Handbook for complete instructions. The handbooks are available at www.mesc.org.
MESC Contract Numbers
It is essential that vendor quotes, member POs, and vendor invoices include the applicable MESC contract number.
The MESC contract number provides the following:
Confirmation that a Mohave contract is being used.
Faster processing and review.
An additional check and balance.
A readily available audit trail.
Quotations
Only quote items under contract.
Quote only at approved MESC contract prices.
Special volume discounts, promotion, closeout, and other special pricing must be approved by Mohave before they are
quoted to the member.
Product and service additions must be approved by Mohave before they are quoted to the member.
Member should attach a copy of the quote to member’s PO. Mohave needs the quote to review and approve the PO.
Order Processing
Member must not send PO directly to the vendor.
Vendor must process member POs only after Mohave approves them.
The email subject references Mohave confirmation of a specific member PO.
The approved member PO is attached to the email. The PO will include a “MESC Reviewed” stamp.
Revisions to POs follow the same process.
Invoices
Bill to addresses can be found on the member’s PO.
Invoices should match the member PO.
Invoices for “as-needed, when-needed” BPO purchases must match approved contract pricing.
Payment terms must comply with the applicable MESC contract.
Members may take prompt payment discounts, if such discounts are included in the contract.
Admin Fee
Each contract has a specified day of the month for submitting the admin fee payment and reconciliation report.
Reconciliation reports are provided monthly, regardless of activity.
Admin fee payments must be submitted monthly, unless the amount is less than $20. Amounts of less than $20 should
be added to the next month’s admin fee payment.
Contract Prices
Contract prices will be posted on Mohave’s website.
Each member agency may request a single user ID and password. The member may share that user ID and password
with appropriate personnel within the organization.
Rev. 3/30/11, JET
EXHIBIT 3
USING MOHAVE CONTRACTS UNDER E-RATE
- Member will issue a purchase order to Mohave indicating the order is for an E-Rate purchase and listing the vendor’s contract number. Purchase order will provide a description of the project, list the item(s) to be purchased, and provide Mohave contract price(s) in the body of the purchase order. For long detailed orders, members may provide the project’s description in the body of the purchase order and attach the details on separate sheet or vendor quote. Amount of the purchase order will be equal to one-percent (1%) of the total cost of the goods and services used on the Mohave contract (Mohave’s administration fee). Prices in Mohave’s E-Rate contracts do not include the one-percent administration fee.
- Member will issue a purchase order to Mohave Vendor indicating the order is for an E-Rate purchase and listing the vendor’s contract number. Purchase order will provide a description of the project, list the item(s) to be purchased, and provide Mohave contract price(s) in the body of the purchase order. The PO will be in the amount that the member will pay directly to the vendor (the amount not funded by the SLD). Prices in Mohave’s E-Rate contracts do not include the one-percent administration fee.
- Member will send the Mohave purchase order, a copy of purchase order issued to the vendor, a copy of the vendor’s quote, and a copy of the Schools and Libraries Division (SLD) Funding Commitment Report to Mohave. Highlight the section of the SLD Funding Commitment Report that applies to the purchase order.
- Mohave will issue a summary to the vendor that states “E-Rate Summary” in the top right corner and send it and the “MESC Reviewed” vendor purchase order to the vendor. Vendors should only start work on E-Rate projects under Mohave contract after receipt of the reviewed purchase order and summary.
- Vendor will perform the work in accordance with the contract and the purchase order. Vendor will invoice the Universal Service Fund (using vendor’s SPIN number) for the eligible percentage of the project noted in the SLD award document.
- Vendor will invoice the member directly for the balance of the project. Payment will be made directly to the vendor.
- Mohave will invoice the member for Mohave’s one-percent (1%) administration fee. Mohave will not invoice for the goods and services for the project. The only money Mohave will receive for the E-Rate project is Mohave’s one-percent (1%) administration fee. Mohave holds the contract and does not have a SPIN number. Therefore, we cannot invoice the Universal Service Fund.
- We recommend checking with the SLD or Arizona Department of Education for additional information on E-Rate purchases. Also, please feel free to contact us for further information.
NOTE: Mohave assists members with purchase verification. However, it is the member’s responsibility to independently verify that quotations and purchase orders comply with the terms of the award of a contract or procurement. Contract documentation files are available on our website to assist members in meeting this due diligence responsibility.
Rev. 1/9/09, JET
EXHIBIT 4
SAMPLE E-RATE PURCHASE ORDER
EXHIBIT 5
LEASE PROCESSING INSTRUCTIONS
FINANCING ONLY UNDER MOHAVE CONTRACT
FINANCING IS THROUGH A MOHAVE FINANCING CONTRACT
A member is financing the purchase of equipment. The financing is through a Mohave contract awarded to a vendor from a Mohave leasing solicitation. The equipment is not purchased through a Mohave contract.
The processing instructions are as follows:
- The member issues a PO to a Mohave financing contractor or the financial institution to which payments are to be made. The member PO must reference the MESC contract number. The PO amount is the initial payment(s) due for the initial PO term.
- The body of the member's PO contains the complete purchase description (items purchased, unit price, extended cost, total cost, tax, freight, Mohave contract number).
- The body of the member's PO should include the term of the lease.
- The member documents provided to Mohave include a copy of a financing proposal from the financing contractor, an amortization schedule, and the member PO.
- Mohave issues a "Lease Order" to the Mohave financing contractor.
- The Mohave financing contractor completes the funding and notifies Mohave. Mohave revises "Lease Order" with the exact amount of the interest on the lease and issues a "Transaction Invoice" to be paid by the Mohave financing contractor. (A transaction fee is 1% of the total interest to be paid under the lease).
- Copies of the Mohave Lease Order, member's PO to Mohave financing contractor, a copy of a financing proposal from the financing contractor, and an amortization schedule are sent to the Mohave member, and the Mohave financing contractor.
- The Mohave financing contractor pays Mohave the transaction fee from the "Transaction Invoice."
- The equipment contractor will submit the invoice for the equipment directly to the member or Mohave financing contractor.
- The Mohave financing contractor pays the equipment contractor upon receipt of the invoices and acceptance certificate from the member.
- The Mohave financing contractor invoices the member directly for all lease payments.
- The member makes lease payments directly to the Mohave financing contractor.
IMPORTANT INFORMATION
NOTE: Mohave assists members with purchase verification. However, it is the member's responsibility to independently verify that quotations and purchase orders comply with the terms of the award of a contract or procurement. Contract documentation files are available on our website to assist members in meeting this due diligence responsibility.
Rev. 4/1/11 JET
EXHIBIT 6
LEASE PROCESSING INSTRUCTIONS
PURCHASE AND FINANCING UNDER MOHAVE CONTRACTS
MOHAVE FINANCING AND EQUIPMENT CONTRACTS USED
A member is financing the purchase of equipment. Both the equipment purchase and the financing are through Mohave contracts.
The processing instructions are as follows:
- The member issues a PO to a Mohave financing contractor or the financial institution to which payments are to be made. The member PO must reference the MESC contract number. The PO amount is the initial payment(s) due for the initial PO term.
- The body of the member's PO contains the complete purchase description (items purchased, unit price, extended cost, total cost, tax, freight, Mohave contract numbers).
- The body of the member's PO should include term of the lease.
- The member documents provided to Mohave include the detailed equipment quote, a copy of the financing proposal from the Mohave financing contractor, an amortization schedule, and the member PO.
- Mohave issues a "Lease Order" to the Mohave equipment contractor. Mohave's equipment Lease Order amount is equal to the cost of the purchase of the equipment (cost of equipment, freight, etc.).
- Mohave issues a "Lease Order" to the Mohave financing contractor. The Mohave financing contractor completes the funding and notifies Mohave. Mohave revises "Lease Order" with the exact amount of interest determined and issues a "Transaction Invoice" to be paid by the Mohave financing contractor. (A transaction fee is 1% of the total interest to be paid under the lease).
- Copies of both Mohave Lease Orders, the member's PO to the Mohave financing contractor, the detailed equipment quote, a copy of a financing proposal from the Mohave financing contractor, and an amortization schedule are sent to the Mohave member, Mohave equipment contractor, and Mohave financing contractor.
- The Mohave equipment contractor will submit the invoice for the equipment directly to the member or Mohave financing contractor.
- The Mohave financing contractor pays the Mohave equipment contractor upon receipt of the invoices and acceptance certificate from the member.
- The Mohave equipment contractor reports and pays the Mohave admin fee on their monthly reconciliation report to Mohave.
- The Mohave financing Contractor pays Mohave the Transaction Fee from the "Transaction Invoice."
- The Mohave financing contractor invoices the member directly for all lease payments.
- The member makes lease payments directly to the Mohave financing contractor.
IMPORTANT INFORMATION
NOTE: Mohave assists members with purchase verification. However, it is the member's responsibility to independently verify that quotations and purchase orders comply with the terms of the award of a contract or procurement. Contract documentation files are available on our website to assist members in meeting this due diligence responsibility.
Rev 4/1/11 JET
EXHIBIT 7
SAMPLE LEASE PURCHASE ORDER
(Used When the Purchase is Financed Under a Mohave Leasing Contract)
EXHIBIT 8
LEASE PROCESSING INSTRUCTIONS
PURCHASE UNDER MOHAVE CONTRACT
FINANCING IS THROUGH A THIRD PARTY FINANCING CONTRACT
A member is financing the purchase of equipment. The equipment purchase is through a Mohave contract. Financing is through a non-Mohave 3rd party leasing company, which is not a vendor awarded a contract to a Mohave leasing solicitation.
The processing instructions are as follows:
- The member issues a PO to the 3rd party financing contractor, showing the mailing address, for the initial payment(s) due for the initial PO term. The member must reference the applicable MESC contract number for the equipment to be purchased.
- The body of the member's PO contains the complete purchase description (items purchased, unit price, extended cost, total cost, tax, freight, Mohave contract number).
- The body of the member's PO must note the purchase is to be financed by a 3rd party financing contractor, the term of the lease, and the name of the financing contractor.
- The member documents provided to Mohave include, the detailed equipment quote, a copy of a financing proposal from the 3rd party financing contractor, an amortization schedule and the member PO.
- Mohave issues a "Lease Order" to the Mohave equipment contractor.
- Mohave's equipment Lease Order amount is equal to the cost of the purchase of the equipment (cost of equipment, freight, etc.).
- Copies of the Mohave Lease Order, member's PO to 3rd party financing contractor, detailed equipment quote and a copy of a financing proposal from the financing contractor are sent to the Mohave member, Mohave equipment contractor, and 3rd party financing contractor.
- The Mohave equipment contractor will submit the invoices for the equipment directly to the member or 3rd party financing contractor.
- The 3rd party financing contractor pays the Mohave equipment contractor in full upon receipt of the invoices and acceptance certificate from the member.
- The Mohave equipment contractor reports and pays the Mohave admin fee on their monthly reconciliation report to Mohave.
- The 3rd party financing contractor invoices the member directly for all lease payments.
- The member makes lease payments directly to the 3rd party financing contractor.
IMPORTANT INFORMATION
NOTES: Mohave assists members with purchase verification. However, it is the member's responsibility to independently verify that quotations and purchase orders comply with the terms of the award of a contract or procurement. Contract documentation files are available on our website to assist members in meeting this due diligence responsibility.
Rev. 3/15/11 JET
EXHIBIT 9
SAMPLE LEASE PURCHASE ORDER
(Used When the Purchase is Financed Under a Non-Mohave Leasing Contract)
EXHIBIT 10
Direct Online Order Process
(Please visit our "Direct Online Order" webpage on our website for more details.)
http://www.mesc.org/directorder/
EXHIBIT 11
Hybrid Direct Order Process
(Please visit our "Hybrid Direct Order" webpage on our website for more details.)
http://www.mesc.org/directorder/
EXHIBIT 12
In Store Purchase Process
(Please visit our "In Store Purchase" webpage on our website for more details.)
http://www.mesc.org/directorder/
EXHIBIT 13
SAMPLE VENDOR QUOTE
EXHIBIT 14
MESC REVIEW TOOLS
MOHAVE EDUCATIONAL SERVICES COOPERATIVE REVIEW TOOLS
As part of the service Mohave provides its Members, Mohave procurement specialists perform an initial review for contract compliance on member purchase orders using a Mohave contract. After the Mohave procurement specialists have completed their review, members and vendors will simultaneously receive the “MESC Reviewed” purchase order and documentation back up via email. To assist members and vendors, Mohave has incorporated various stamps into the review process.
MOHAVE’S PROCUREMENT STAMPS
The “MESC Reviewed” stamp indicates that Mohave has done an internal check and the Purchase Order is ready to be initiated by the vendor. Mohave sends members and vendors reviewed POs via email with documentation attached. All Mohave contract orders should be stamped “MESC Reviewed”. If you receive an unstamped PO please send it to Mohave for review.
Mohave uses an “Adminfeeable” stamp to assist vendors with the Reconciliation Report. This stamp breaks the amount that Mohave should receive admin fee on, from the amount of pass thru or non Admin Fee eligible items. This stamp will not be used on blanket purchase orders. Only the review stamp will be used.
A “Split PO” stamp is used when a member issues a PO for a single vendor using two or more Mohave contracts for that vendor. The contracts will be listed on the “Split PO” stamp. There will be a PO copy with contract breakout for each contract used on the member purchase. The highlighted contract will correspond to the amounts on the “Adminfeeable” stamp. An email will be sent for each contract used with the PO and documentation attached.
EXHIBIT 15
SAMPLE STANDARD “MESC REVIEWED”
PURCHASE ORDER
EXHIBIT 16
“MESC REVIEWED” SPLIT PURCHASE ORDER
(TWO MOHAVE CONTRACTS ON THE SAME PO)
EXHIBIT 16
“MESC REVIEWED” SPLIT PURCHASE ORDER
(TWO MOHAVE CONTRACTS ON THE SAME PO)
EXHIBIT 17
SAMPLE RECONCILIATION REPORT
(Click image to enlarge) 
This is a sample admin fee reconciliation report. The purpose is to provide vendors with the information that will be required for Mohave to reconcile admin fee payments. Vendors may submit alternate reports (different format, different field names, etc.), as long as the required information is provided.
The following information will help you plan for reporting admin fee payments:
- Invoice Number is for all invoices with member activity during the applicable period (payment invoices, credit invoices, etc.).
- Invoice Total is the total amount paid by, or credited to, the member (all charges, including materials, services, labor, shipping, tax, bonds, mileage, etc.).
- Material/Service/Construction is the invoiced amount for all items with Mohave’s admin fee included in the unit price (materials, services, construction, maintenance, labor, travel time, etc.).
- Freight, Bond, Trade, Tax are non-admin fee items. There may be others. (permits, mileage, per diem, etc.) Check your contract.
- Trade and Rebate do not affect the admin fee calculation. This is only a credit on the balance the member owes on the invoice.
- Mohave Admin Fee is the 1% admin fee included in the unit price. The admin fee portion of the unit price is .0099 of the total (i.e., $1,000 * .0099 = $9.90).
- The admin fee payment should match the total in the Mohave Admin Fee column ($498.21 in this sample report).
- If vendor has more than one contract, Mohave prefers one reconciliation report per contract. If a single reconciliation report is used, it must be sorted and totaled by contract.
Sample Only (Rev. 1/26/10, JET/JTP)
EXHIBIT 18
MESC ADMIN FEE CALCULATOR
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