Purchase Order Hold Process

Unless the University of Illinois System can demonstrate that a conflict of interest does not exist, 1) a purchase order hold will be placed on the vendor’s profile in Banner and, 2) a "Potential Conflict of Interest" supplier classification will be added on the vendor's profile in iBuy (collectively "purchase order hold/supplier classification") when:

  • the vendor has had a previously identified prohibited or potential conflict of interest;
  • it is determined at the time of vendor setup that the vendor has a relationship with a University of Illinois System employee;
  • the vendor is identified in a conflict of interest/commitment management and oversight plan;
  • the vendor is identified in a Report of Non-University Activities (RNUA) process (for UIUC, UIS, and System employees);
  • the vendor is identified in the UIC Research process (for UIC employees).

The University of Illinois System might not place a purchase order hold/supplier classification on a vendor profile in certain situations that suggest no potential conflict exists, such as when:

  • the vendor has not conducted business with the University of Illinois System within the last three years or is not set up as a vendor in the University's vendor database;
  • the vendor is a not-for-profit organization or a governmental entity;
  • the RNUA/UIC Research information does not contain a legally accurate or complete vendor name; or
  • the vendor is a publicly traded company subject to federal 10K reporting requirements established by the U.S. Securities and Exchange Commission.

Prior to completion of the purchase, the potential vendor will be required to complete a Financial Disclosures and Conflicts of Interest form. This form will be used to determine whether a prohibited or potential conflict exists at the time of the purchase. If a prohibited or potential conflict of interest exists, the Conflict of Interest Review Process must be completed to determine if the university may proceed with the purchase. The purchase order hold/supplier classification will remain in place until the prohibited or potential conflict of interest no longer exists.

Procurement Services will annually review approved RNUAs to identify reported relationships that may implicate the Procurement Code conflicts of interest provisions.

Effects of a Purchase Order Hold/Supplier Classification

Banner Purchase Orders

When a purchase order hold is placed on a vendor profile in Banner, a Banner purchase requisition can be created, submitted, approved, and routed to the appropriate university Purchasing and Contract Management or, for System units, System Purchasing and Support Services. If there is no actual conflict of interest found after the Conflict of Interest Review Process, the transaction may not be completed until the purchase order hold is removed from the vendor’s Banner profile or the purchase order is otherwise approved by the appropriate university Purchasing and Contracts Management or, for System unites, System Purchasing and Support Services personnel.

iBuy Purchase Orders

When a supplier classification is placed on a vendor profile in iBuy, an iBuy purchase requisition can be created, submitted, approved, and routed to the appropriate university Purchasing and Contracts Management or, for System units, System Purchasing and Support Services. If there is no actual conflict of interest found after the Conflict of Interest Review Process, the transaction may not be completed until the supplier classification is removed from the vendor's iBuy profile or the purchase order is otherwise approved by the appropriate university Purchasing and Contracts Management or, for System units, System purchasing and Support Services.

First Published: July 2017 | Last Updated: May 2023 | Last Reviewed: May 2023