DV Step 5: Gather and submit supporting documentation

On This Page:  Overview | DV Coversheet | Justification and Itemization Documentation | How to Submit | Accounts Payable Review and Upload | Standard Retention Guidelines | Initiating Organization Retention Guidelines

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Overview

Supporting documentation is required for every DV. Its purpose is to justify the payment and serves as an audit record for compliance purposes. Supporting documentation should lead an independent person, such as an IRS auditor or AP staff member, to conclude that the payment was:

  • Necessary
  • Appropriate to the occasion
  • Reasonable in amount
  • Serving a bona fide university purpose

Supporting documentation consists of:

  1. DV Coversheet, which is generated upon submission of the DV document in KFS
  2. Appropriate justification and itemization documentation
  3. Other documentation as necessary. For example, you may type up a paragraph in Word to fill in any additional details that are not conveyed by receipts, invoices, etc.

DV Coversheet

Upon submission of a disbursement voucher, you will see a link to the Disbursement Voucher Coversheet at the top of the document. Follow the link to download the coversheet.

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Below is an example of a DV coversheet.

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Justification and Itemization Documentation

Justification and itemization documentation may consist of any of the following:

  • A vendor-prepared receipt or invoice that includes:
    • Items purchased
    • Date of purchase
    • Proof of payment (showing that funds were tendered)
    • Vendor name
  • Completed and signed Payee Certification form
    • Use the Payee Certification form when an invoice for compensation for services is not available. For example, a speaker may not have a formal invoicing process. The Payee Certification Form may be used in place of an invoice. A blank Payee Certification form is available here.
  • Statement of attestation
    • When a good or service is purchased with cash, a statement of attestation that cash was used is considered proof of payment.
    • You may also include a written statement explaining the reason for the purchase.

How to Submit

Critical data must be redacted from all supporting documents. For example, a receipt may include a complete credit card number. This information must be removed prior to submission. Redaction is not as simple as blacking the information out with a Sharpie. Visit the Knowledge Base for proper redaction techniques.

Once critical data is redacted, supporting documents must be compiled into a single PDF file. Arrange documents in the following order:

  1. DV Coversheet
  2. Justification and itemization documentation, such as receipts or a Payee Certification form
  3. Optional:  Other documentation, such as a paragraph typed in Word
  4. Optional:  Check Enclosure documents
    • Check Enclosure documents, such as membership forms or payment stubs, are only required when the Check Enclosure option is selected in the Other Considerations section of the DV.

Name the PDF file using this naming convention:  DV number, payee name (last name or company name), and DV amount. For example, the supporting documentation file for the DV below would be named “69706006 Barnes 800.00.pdf”

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Supporting documentation must be submitted to Accounts Payable via the AP Upload Tool for DV Supporting Paperwork. These documents are only visible to users on the DV route log and are attached via a separate process.

To upload documents, visit the AP Upload Tool for DV Supporting Paperwork and click the Initial PDF paperwork submission link at the top of the page.

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A search field will open at the bottom of the page. Enter the DV number and click Validate DV Number.

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Note:  If you just submitted the DV document in KFS it may take up to 15 minutes for the Upload Tool to recognize the DV document number.

Once validated, attest that the appropriate documentation is included in the PDF file and click “I verify that my documentation is complete.”

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You may now browse for the PDF file and upload it to Accounts Payable.

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Note:  There are occasional business cases in which a copy of the supporting documentation may be added to the Notes and Attachments tab after a copy has been submitted through the Upload Tool. When adding supporting documentation as an attachment, keep in mind that all KFS users have access to the information included in that tab. Supporting documentation often contains confidential or sensitive information that should not be shared with everyone who has access to KFS.


Accounts Payable Review and Upload

Accounts Payable staff review supporting documentation to ensure documents are legible and all required pieces are included. Staff do not review documents for compliance with IU policy at this point. Policy review occurs later in the review process.

Once reviewed, AP staff will attach supporting documentation to the DV document. This process can take up to four business days. If it has been more than four business days since the DV was submitted, use the FMS AP Upload Record report in IUIE, or Indiana University Information Environment, to verify that supporting documentation was submitted before contacting AP staff.

If AP staff finds a problem with the supporting documentation files, they will communicate with the DV initiator in one of two ways:

  • If the supporting documentation submitted was accurate but incomplete, AP staff will leave a note on the DV document in the Notes and Attachments tab; the DV initiator will receive a notification in their Action List. Additional documentation must be uploaded using the Audit paperwork submission link, part of the AP Upload Tool.
  • If the supporting documentation submitted does not relate to the payment on the DV document, AP staff will send the document initiator an email instructing the initiator that the supporting documents have been purged. Correct documentation must be uploaded using the Audit paperwork submission link, part of the AP Upload Tool.

Standard Retention Guidelines

After uploading supporting documentation, the department must retain the original documents in a secure location for the rest of the current fiscal year and the entirety of the next.

The fiscal year begins on July 1. If a DV was submitted on October 31, 2018, supporting documentation must be retained until July 1, 2020.

Note:  The retention requirements are longer for DVs issued from contract and grant accounts. Contact your grant administrator for guidance.

Documents received by the department in hardcopy form must be stored securely in hardcopy. Documents received by the department electronically may be stored electronically on a secure drive that is backed up regularly.

Review the University Records retention and disposition schedules site for more details.


Initiating Organization Retention Guidelines

Overview

Some payments require submission of critical data to Accounts Payable to substantiate the payment. In these cases, supporting documentation is retained by the initiating organization.

Reasons to retain supporting documentation include exceptional privacy concerns such as:

  • Clinical trials or other research projects using human subjects and IRB protocols
  • Sensitive research projects, such as sexuality studies or studies involving confidential payments
  • Negotiated legal settlements
  • Projects with privacy concerns, such as HIPAA or FERPA requirements

If you are unsure whether or not your project is considered sensitive contact your grant administrator.

When supporting documentation must be retained by the department, select O – Initiating Organization as the Document Location Code when creating the DV document in KFS.

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Note:  Supporting documentation must be kept together. In other words, if some supporting documents are sensitive but others are not, all supporting documentation must be retained by the department. The most restrictive piece of supporting documentation determines where all pieces are kept.

Documentation submitted in lieu of supporting documentation

When supporting documentation is retained by the department, paperwork must still be submitted to Accounts Payable via the Upload Tool for DV Supporting Paperwork.

Submit the following documents to Accounts Payable via the Upload Tool:

These documents must be combined into one PDF. Name the PDF file using this naming convention:  DV number, payee name (last name or company name), and DV amount. For example, “69706006 Barnes 800.00.pdf.”

Retention Guidelines

When supporting documentation remains with the initiating organization, original documents must be retained in a secure location for the rest of the current fiscal year and the entirety of the next seven fiscal years.

The fiscal year begins on July 1. If a DV was submitted on October 31, 2018, supporting documentation must be retained until July 1, 2026.

Documents received by the department in hardcopy form must be stored securely in hardcopy. Documents received by the department electronically may be stored electronically on a secure drive that is backed up regularly.

Review the University Records retention and disposition schedules site for more details.