Flexible Procurement Methods: "The Checkbook"
Richard Lamere, VT Div for the Blind / James Giffen, VT Dept. of Aging
Direct Consumer Grants-May, 2000
After three years of successful use of a checkbook system in its "Consumer Choice" grant from RSA,
Vermont phased similar systems into both its Division of Vocational Rehabilitation and Division for the
Blind & Visually Impaired. The consumer and counselor have the flexibility to decide whether funds for
a service should be provided by the customary method of authorizing a vendor to bill us, using the office's
Imprest Cash Checkbook, or having a check sent from the State Treasurer's Office to the consumer so
he/she can purchase the product or service directly.
A. Mechanisms for payment:
1. Provide an authorization to a vendor, get an invoice, and process for payment
being mailed from the State Treasurer's Office to the vendor;
2. Write a check to the consumer or to a vendor from the District Office
Imprest Cash checkbook (up to $300); or
3. Have a check issued directly to the consumer from the
State Treasurer's Office in Montpelier (no maximum) for services.
B. Some considerations in choosing the payment mechanism are:
1. If the person owes taxes to the State of Vermont, any check issued from the
State Treasurer's Office will be "set off" to be applied toward satisfying that debt;
2. Checks from District Office Imprest Cash accounts cannot be written for more
than $300; checks from the State Treasurer's Office can be written for any amount.
3. An Imprest Cash check is immediate while a check from the Treasurer's Office
takes approx. five days from the time the paperwork leaves our Business Office to
the time it appears in the consumer's mailbox.
4. Although a check from an Imprest Cash account is immediate, if the service is
not needed immediately, to avoid depleting the Imprest Cash account, a check from
the State Treasurer's Office may suffice.
5. The person may not have a place to cash a check or doesn't feel comfortable
1. For all transactions authorization and payment coding forms for the Business
2. For Part A, #'s 2 & 3:
a. A Consumer Grant or Imprest Cash Reimbursement form
("VR 32" or "DBVI 100", hereafter called a "voucher") must be completed and
signed by both the consumer and the counselor.
b. If the District Office Imprest Cash account is chosen (i.e., writing a check directly
to the consumer or a vendor), the money must be replaced in the account so the
"Name" and "Address" lines on the voucher will always be the District Office's
Imprest Cash account. If payment is to be made via a check from the State
Treasurer's Office rather than through an Imprest Cash checkbook, the "Name"
and "Address" lines must always be the consumer's.
c. In the "Number of Choices" space on the voucher is for the number of vendors or
alternatives researched or solicited. For example, if a person is looking for a psychologist,
he/she may research several within a reasonable travel distance so "3 in Central Vermont"
may be written in this space. In the "How chosen?" space put in the answer-e.g.,
"specializes in my disability", or "closest to my home", or "least expensive of the 3".
d. In the "Description of Service" block is to describe how the funds are to be used.
Examples: Computer printer purchase - Staples; car repairs - Bob's Sunoco;
clothing - Ames. If the service is an allowance, a description of how the rate was determined
must be entered. For example: travel to/from training, 10 miles/day @ $.31/mile for 30 days.
Copies of the voucher should be dispersed as soon as possible to initiate replenishment
of the account or issuance of a check to the consumer from the State Treasurer, as applicable.
e. The "Method of Verification" space may be completed immediately or, depending on the situation,
the pink copy may have to be placed in a "pending file". ("Because he took the check" is not
i. If the check was written to a vendor, an invoice or estimate on the vendor's letterhead must be
attached to the voucher. The appropriate spaces on the voucher must be checked, initialed,
and dated; the pink copy must be placed in the case record. If this verification detail is available
at the time of submittal to the Business Office, it should be included with documentation for
ii. If the person is to be reimbursed for an out-of-pocket purchase and a receipt is furnished, a
checkmark must be placed in the appropriate space, the receipt (or copy) must be attached to
the pink copy for the case record, and the white and yellow sheets forwarded to the
iii. If the funds are for a service yet to be purchased, the pink copy must be placed in a
"pending file" and verification must somehow subsequently be made to show that the funds
were used as intended-the person could bring in a receipt which would be attached to the
pink copy with the "receipt attached" space checked. Or, if no receipt is furnished but the
person comes into the office wearing his new work clothes, the verifier may write a
description in the designated space of how it's known that the right purchase was made
-e.g., "Billy came into the office wearing his new work clothes"-initial/sign and date, place
the pink copy in the case record, and be done with it.
Frequently asked questions
1. What's to prevent someone from cashing an Imprest Cash check and buying a round of drinks for everybody at the bar rather than using it for its intended purpose?
2. Who writes the checks and balances the checkbook?
Answer: Not the counselors.
3. What if we can't get a receipt or a copy of one?
Answer: Although getting a receipt is always the preferred method for verifying a purchase, seeing the item or talking to the person about specifics is also acceptable. For example, work clothing--If receipts are not easily attainable, verification may be made by recording on the voucher (or by referring to specific case notes) that an agency worker saw the clothes, went shopping with the person, etc. The counselor doesn't have to be the one "seeing" or talking-it may be a job coach, mental health worker, clerical support person, etc. If verification is by talking, the conversation can be described in the case notes, e.g., "She said she got two outfits for interviews; both fit well."
If the item is not tangible or visible (e.g., gas money for job search), the voucher may refer to specific case notes. For example: On 10/1/99 the person is given $25 for gasoline. On 10/15/99 the counselor meets with the consumer, learns where the consumer filed job applications, and describes the progress in the case recordings. The counselor may write "See case notes of 10/15" in the "Method of Verification" space on the copy of the voucher maintained in the case record.
4. What if the receipt shows the purchase was less than the check provided?
Answer: If within $2.00, we don't worry about it. If more than $2.00, an explanation is expected in the verification section of the voucher (or case notes) of either how the excess money was used or that it was collected and processed as a refund against the original expenditure.