N.Y. Comp. Codes R. & Regs. tit. 9, § 1628-4.5 – Payments due suppliers or contractors.

(a) Payment due suppliers or contractors should be processed as promptly as possible and within the cash discount period, if applicable. Payment vouchers must be substantiated by receiving report or other document signed by authorized personnel, preferably by employee other than person signing the payment voucher and indicating that supplies or services were received as ordered. If there are any discrepancies, shortages, defective material, etc., payment must be withheld until matter is satisfactorily adjusted. However, in such cases, the supplier or contractor should be notified promptly so that corrective action can be taken immediately.
(b) Invoices must show adequate details of the charges. Invoices for work on a time and material basis will list labor separately from materials and will show dates and number of hours worked and hourly rate of pay.
(c) Any tax from which the authority is exempt must be excluded from any payments to suppliers or contractors. Tax exemptions are listed in Subpart 1640-6 of the accounting manual (Subchapter D of this Chapter). It is recommended that gasoline purchases for authority's automotive equipment be on the basis of credit card obtained from the gasoline company whose products are normally used. The monthly billing from the gasoline company will show the tax deductions for purchases being billed.
(d) Special attention should be paid to payments for fuel oil. Fuel oil contracts usually include a clause providing for price adjustments. These adjustments are generally based on prevailing prices posted in the New York Journal of Commerce. The Bureau of Management issues a memorandum of such prices at the end of any month in which there is a price change. The price shown on the contractor's invoice should be checked against the posted price on the day of delivery, as shown in the division's listing, adjusted by the constant differential stated in the contract. The quantity of fuel oil should be checked at each delivery. Printed meter delivery should be double checked by comparing with the quantity by which the amount in the storage tank is increased, either by stick reading or liquidometer reading. Nonmetered deliveries should be checked by ascertaining the quantity in the truck's tank or compartment at start of delivery and the quantity, if any, remaining at the end of the delivery. The calibration chart for the tank or compartment, required to be carried on the truck, should be used to convert the measured reading into gallons. Deliveries of preheated fuel oil require temperature correction to 60°F by reference to the standard table established for this purpose. The quantity delivered should be further checked by comparing with the increased quantity in the storage tank.
(e) Prior written approval by the division is required for final payments of contracts for occasional requirements (see section 1628-4.3 of this Subpart). Final payment is the payment of the full amount of the contract, or the remaining balance, due upon satisfactory completion of the total contract or purchase. The following documents, properly executed, and reviewed and approved by authority counsel as to form, will be included with letter requesting division approval for final payment:
1. (1) Certificate and release—three copies.
2. (2) Request for payment (final payment)—three copies.
3. (3) One copy of each request for payment (partial payment), if any.
4. (4) One copy of each change order, if any.
(f) Partial payments may be made if the amount, duration or other conditions of the contract or purchase warrant such payments. Request for payment (partial payment) will be prepared in triplicate to reflect the work or deliveries on which payment is being based. On all partial payments the authority will retain 10 percent of the sum which represents the completed work or deliveries where there is no payment or performance bond. If a payment or performance bond is provided then the authority will retain five percent of the sum which represents the completed work or deliveries. Partial payments do not require submission to the division for approval but do require the signature of the authorized representative of the division who will check the work or deliveries covered by the request for payment (partial payment) and approve the payment. However, a copy of each such request for payment (partial payment) will be included in the documents forwarded for division approval of final payment. When partial payments are planned, unit prices should be specified in the contract or order, or else a schedule of amounts for contract payments should be prepared, so that mutually satisfactory unit prices for completed work or deliveries are established with the contractor prior to the first partial payment.
(g) Advance notice of completed work or deliveries on which partial or final payment is desired should be given to the division as soon as possible.