Encumbrance Cleanup Report
Purpose—to identify and close purchase orders that are no longer needed.
When—the report is run quarterly and distributed to departments. If you would like to check encumbrances at another time, scroll down to Using ENCI for instructions.
Report Layout —
Column A: Department
Column B: Purchase Order status. (A=“accepted,” B=“backordered,” and O=“outstanding”)
Column C: Purchase Order number
Column D: Purchase Order date
Column E: Purchase Order’s initiator
Column F: GL Account used
Column G: Purchase Order total amount
Column H: Vendor Name
Column I: Open or Close—After reviewing, indicate in this column if you want the PO left Open or Closed.
- Log in to Colleague and use the mnemonic PINQ.
- Type the PO number.
- Detail on each line item description.
- Choose POIS to view multiple line items at the same time.
- Look at the Status box to the immediate right of the line item description.
- Possible “status” situations and their meanings are:
- ACCEPTED—Line items have not been paid.
- OUTSTANDING—Line items have not been paid.
- BACKORDERED—Item is not currently available and may be shipped at a later date.
- CLOSED—Item was returned to vendor or unavailable and was closed, typically per department request.
- PAID—Check has been issued.
- RECONCILED—Check has been received by recipient and cleared the LCSC bank account.
- Note which lines are outstanding, backordered, or accepted. These items are still encumbered.
- Decide if the item needs to remain encumbered.
- If you have received an item or service or expect to receive it—mark Open on the report.
- Funds will remain encumbered.
- If you will not be receiving an item or service—mark Close on the report.
- Funds will be disencumbered.
- Do not close the purchase order if:
- You still expect to receive other items on the PO.
- Other line items have been received, but they have not been reconciled yet.
- In these situations the individual line item can be closed (via separate request to Purchasing) or the entire purchase order can be left open until the other items have been reconciled.
- Once you have checked all line items for all purchase orders on the report, return the report to Purchasing. Please e-mail or send a hard copy of the report with all lines completed so the Purchasing Department has documentation.
If an outstanding purchase order is on hold for invoices, it is the department’s responsibility to contact the vendor(s) to have the invoice(s) sent to Accounts Payable for payment.
If the purchase order status is “backordered,” contact the vendor to see if you will actually be receiving the item(s) in question.
Once a purchase order has been closed, it cannot be reopened. Departments will have to submit a new requisition.
If you have any questions while deciding if a purchase order should remain open or be closed, please contact Purchasing.
If you would like to see what encumbrances your accounts have at times other than when Purchasing issues encumbrance cleanup reports, please follow the instructions below.
- Log into Colleague.
- Open the Encumbrance Inquiry page using the mnemonic ENCI.
- Type in the current fiscal year. 20##
- Type in the 15 digits of the account number you wish to review.
- If you do not know what expense object was used, type the first 11 digits and three dots (…).
- A list of accounts will pop-up and you can select one.
- You can then detail in on individual purchase orders and line items to decide if an encumbrance should remain open or be closed.
- If you wish to close a purchase order, please e-mail Purchasing with the purchase order number, the vendor, the amount, and why it should be closed.
- If nothing appears under an account, there are no encumbrances.
Questions? Please contact Purchasing at (208) 792-2288.