Credit/Service Authorization

7-6 Credit/Service Authorization


PURPOSE



1. To provide urgently needed items or services to the applicant, or on the applicants behalf.



2. To provide authorization for an applicant to purchase special need items or services where there are limits according to regulation or policy.



3. To provide assistance in lieu of a cheque to ensure that an applicant acquires the intended items or services.



PRINCIPLE



4. A cheque is to be issued to an applicant, if at all possible, through the regular cheque-producing system.



5. Credit/Service Authorizations (C/SA) are to be used where:

(a) a delay, waiting for a cheque to be processed, would cause hardship; or

(b) because of limits to a special need, the applicant is to be restricted in the type and cost of the goods or service; or

(c) because of the applicant’s inability to handle money, it is determined to be the best method for the applicant to acquire the goods or service.



6. Issuance of a C/SA should be discussed with the applicant as the use of it tends to identify the individual as a recipient of Social Assistance.



POLICY



7. The use of the C/SA for the above three purposes is to be considered when completing the C/SA. For example, a C/SA for emergency food does not include the purchase of tobacco products, which are not considered food or an emergency need. When the C/SA is issued to provide an item or service of special need, the restrictions according to regulation or policy apply.



8. The vendor to whom the C/SA is designated shall be the choice of the applicant. Staff are not to encourage the support of any particular vendor but staff could suggest vendors where the best value may be gotten, considering such factors as the cost of food, cost of transportation to shop for the food, etc.



9. Staff should be aware that some vendors do not accept a C/SA. There also may be some limitations by some vendors. For example, the minimum delivery for most fuel companies is 100 gallons.



10. A C/SA is to be considered as a substitute for a cheque and is to be completed as such. It is to be filled in completely, including all limitations to the C/SA value such as expiry date, volume, dollar value, one-time-only, etc.



11. Because the C/SA is a substitute for a cheque, the vendor should honour the limitation the worker has authorized. However, in the case of buying groceries, clothing and oil, it is possible to exceed the limitation by a few dollars. In these cases, the Department may pay up to 10 percent or $5.00 (whichever is less) of the original limit. Staff should keep in mind that, if a cheque were issued for $100, the applicant would not be able to receive $102 worth of goods.



12. If, after a C/SA is issued, circumstances change and the resulting bill is higher than the approved limit, the worker should document the reasons and give authorization for the amount to be paid, whether that is the original limit or any or all of the amount of the invoice. This documentation should be attached to the C/SA and invoice to be sent for payment.



13. Signing authority limits for staff with Social Assistance authorization as outlined in Instruction 6-1 also apply to the issuance of a C/SA.



PROCEDURE



14. A C/SA for emergency food is populated with "No Tobacco Purchase".



15. If the cost is unknown, the applicant will be asked to get an estimate on the item(s) and present it to the worker before the C/SA is issued.



16. The C/SA is to be processed for payment only if a bill, invoice, or delivery slip is returned by the vendor with a copy of the C/SA. A statement is not acceptable. A C/SA should be returned to the vendor if the supporting documentation is not acceptable. If proper documentation is not available from the vendor, a written reason should accompany the C/SA when processed for payment.



CROSS REFERENCE

3-13 Emergency Assistance

5-1 Shelter - Rent/Mortgage

5-7 Prescription Drugs

6-1 Special Need Expenditures - General

6-3-2 Transportation - Child Restraint Seats

6-4-1 Medical Supplies

6-7 Optical Care

6-8 Dental Benefits

6-10 Furniture and Appliances - Purchase or Repair

6-11 Repairs to Property

6-12 School Allowance

7-1 Misappropriation of Assistance by Applicants