Rule 5122-1-29 | Operation of regional psychiatric hospital commissaries.
(A) The purpose of this rule is to establish procedures for the funding and operation of regional psychiatric hospital (RPH) commissaries under the managing responsibility of the Ohio department of mental health and addiction services, division of hospital services.
(B) The provisions of this rule apply to all RPHs.
(C) Process
(1) An RPH may create and maintain commissaries for the benefit of the patients. Upon receipt of central office approval, an RPH may transfer funds from the industrial and entertainment fund to establish a commissary operation.
(2) Hours of operation of commissaries will be established by the chief executive officer of the RPH as justified by sales records and dictated by the availability of employees designated and instructed in the workings of the commissary operation.
(3) The salaries or wages of all commissary employees, including assigned patient workers, will be paid from appropriated funds. A state employee must be accountable for the day-to-day operation of the commissary. All volunteers are to be covered by a fidelity bond.
(4) The recording of transactions of the commissaries will be directly supervised by the business office of each RPH and will be subject to audit by central office, and the auditor of state.
(D) Operation
(1) A cash register will be used to record all cash sales at the time of transaction. In addition to use of a cash register, accounting software may be used to track transactions.
(2) The commissary cash journal will be used to substantiate all charge sales. Fund transfers for all non-cash sales will be made within one day of the actual transactions.
(3) All deliveries will be checked and verified in the presence of the delivery person. A receiving document will be written to substantiate the delivery.
(4) Commissary invoices will be extended by commissary personnel and verified by business office personnel before figures are entered into the commissary ledger. The retail value and cash over/short columns will be completed. A-2 forms will be completed daily and turned into the business office monthly for approval and storage. All other generally accepted accounting practices will be implemented in maintaining proper financial records.
(5) Commissary revenue over and above operating costs will be considered profits. Commissary prices will be established locally at the lowest possible level which will generate a controlled net profit range of five per cent to fifteen per cent. All profits from commissary operations except those funds needed for equipment will be paid into the industrial and entertainment fund of the hospital to be used to benefit the patients. Profits will be transferred at regular intervals in like amounts to establish transfer patterns. Profits needed for replacement of equipment which would exceed normal maintenance costs may be held in reserve to a maximum time limit of six months, at which time the reserved amount shall either be utilized for the intended purpose or transferred to the industrial and entertainment fund. Once profits are transferred, there will be no rescission.
(6) Apparent merchandise shrinkage will be maintained at a level of not more than two per cent based on total charges for a one year audit period.
(7) No employee will gain personally from the operation of the commissary. There will be no wholesale transactions or personal items purchased through commissary vendors.
(8) Items for sale in or for operation of commissaries may be purchased from requisite purchase programs specified in Ohio administrative policy PM-01 (including the department's Ohio pharmacy services office) or from local suppliers. Before seeking bids from local suppliers, the business office of the RPH will determine whether the needed items are available from requisite purchase programs.
(9) Items purchased from local suppliers will be obtained at the lowest prices available and bidding for such items will occur at least annually using formal procedures. It is the responsibility of the business office to provide periodic checks for competitive prices from vendors.
(10) Disbursements in the amount of one thousand dollars or less may be made with the approval of the chief executive officer or designee. Equipment purchases or any expenditure in excess of one thousand dollars (other than items for resale) will have prior approval from central office. Approval will be secured in advance by submitting a request for approval to purchase form DMHAS-0205 as follows:
(a) The form will be prepared by the requesting RPH, numbered consecutively within each fiscal year, and signed by the chief executive officer.
(b) The form will be forwarded to the deputy director of hospital services for approval. With the form, the requesting RPH will verify that requisite purchase programs were reviewed to determine whether the needed items are available from those programs. If the items are unavailable from those programs, the form will also be accompanied by at least three letterhead bids.
(c) Upon central office approval, the copy of the approved request will be returned to the initiating RPH. The approved request will be retained by the RPH according to the department retention schedule.
(11) Appropriate expenditures to be paid from the commissary fund will include but not be limited to:
(a) All merchandise for resale;
(b) Overhead supplies, overhead foods, and raw foods;
(c) Equipment;
(d) Repair and maintenance of equipment;
(e) Commissary sales taxes (state and local);
(f) Licenses (food service, etc.); and
(g) Check printing charges.
(12) The commissary area will be maintained in clean, neat, and orderly conditions at all times. The cost of building repair and maintenance will be the responsibility of the RPH.
Last updated April 4, 2022 at 8:49 AM
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