Title: Procurement Card (Visa Purchasing Card) Implementing Procedure For Policy # N/A

Transcription

1 COLLEGE f CENTRAL FLORIDA ADMINISTRATIVE PROCEDURE Title: Prcurement Card (Visa Purchasing Card) Page 1 f 8 Implementing Prcedure Fr Plicy # N/A Date Apprved: 02/05/2007 Divisin: Administratin and Finance/Purchasing Dates Updated: 08/06/10, 02/18/11, 01/10/17 Sectin I General A purchasing card is a state cntract VISA Card, issued by SunTrust Bank, Member FDIC, with special electrnic cntrls, t be used nly fr purchases f gds and services fr fficial cllege business. The purpse fr implementing the purchasing card prcedures is t streamline the cllege s prcurement and payment prcesses by delegating the authrity and respnsibility t make certain purchases directly t the cardhlder. This prgram will allw the cardhlder t purchase apprved cmmdities and minr repairs frm vendrs. Each purchasing card is issued t a named individual, and Cllege f Central Flrida is clearly shwn n the card as the gvernmental buyer f gds and services. Purchases can either be picked up r delivered t the receiving department at Cllege f Central Flrida. The purchasing card is intended t cmplement the purchase rder prcess and nt replace it. The greatest benefit t the purchasing card is eliminating the need fr a majrity (but nt all) f the blanket purchase rders issued by departments. Authrized Department Official s may recmmend a purchasing card be issued t an emplyee. The emplyee must cmplete a Purchasing Card Request frm, lcated n the Cllege f Central Flrida intranet. This applicatin must be apprved by the apprpriate Vice President and Vice President f Administratin & Finance. Once apprved, the cardhlder must attend training fr the Enterprise Spend Platfrm frm SunTrust and sign the cardhlder agreement. Sectin II - Purpse The purchasing card system was implemented t: Permit departments t accelerate the rdering, receiving and payment prcess by allwing the department t purchase gds withut the use f the standard requisitin/purchase rder methd, Supprt the eliminatin f mst blanket purchase rders, Prvide greater purchasing flexibility and empwer emplyees t manage expenditures, Allw departments t purchase thse items frm vendrs wh d nt accept purchase rders (within established limits), Reduce the need t use petty cash, Reduce paperwrk, Shrten the cycle time fr rdering and receiving rders, Prvide immediate payment t vendrs and cnslidate billing t ne invice per mnth,

2 Prcurement Card (Visa Purchasing Card) Page 2 Imprve accuntability and cntrl f small dllar purchases thrugh training and the cardhlder agreement. In additin, better cntrls are established when limits are placed n the dllar amunts as well as n the kinds f items that can be purchased with the card. Sectin III Prcedures The prgram administratr and/r business department persnnel will: Assume verall respnsibility fr administering the purchasing card prgram, Infrm budget supervisrs and the apprpriate vice president s when situatins arise invlving imprper use f the purchasing card, Recmmend t the apprpriate vice president s the revcatin f the purchasing authrity and purchasing card use by emplyees wh fail t fllw established purchasing card prcedures, Ensure crdinatin f the prgram with budget supervisrs, the purchasing agent, and the financial services ffice t include training, Establish internal cntrl and billing statement review and apprval prcedures with budget supervisrs and apprpriate persnnel, Setup security fr each purchasing cardhlder per apprved applicatin, Fr deactivating a purchasing card the department apprving fficial will persnally bring the card t the purchasing department, The purchasing department will: Assist in prviding cllege-wide training n the use f the purchasing card and in btaining the signed cardhlder agreement Mnitr the vendrs used. Mnitr prducts purchased and evaluate future requirements t use in establishing future cntracts fr purchase. Mnitr the use f vendrs nt apprved fr specific purchases. Mnitr purchasing card purchases and advise budget supervisrs, administratrs and Vice-President s if transactins appear t be in vilatin f purchasing prcedures, Review departmental purchasing methds t ensure that apprpriate purchasing practices are being fllwed. Retrieve canceled cards frm emplyees, including cards frm emplyees n lnger wrking fr the department, The business ffice staff will: Review purchasing card expenditures, t ensure that purchased gds are necessary, fr fficial use, and that purchases are in cmpliance with established plicies and prcedures, Reslve issues related t questinable r inapprpriate purchases as it relates t the abve. Ensure that the cardhlder receives the gds prir t payment, Request purchasing cards fr apprpriate persnnel within the department Mnitr reslutin f disputed purchase, credit, r billing errrs. The cardhlder will:

3 Prcurement Card (Visa Purchasing Card) Page 3 Cmply with the prcedures set frth in this purchasing manual. Deal directly with the vendr t authrize and btain the materials and supplies and certify receipt. Be respnsible fr all actins related t the successful cmpletin f the rder. Make nly authrized purchases. Unauthrized purchases r careless use f the credit card may cause the cardhlder t be liable fr the ttal dllar amunt f such unauthrized purchases, plus any administrative fees charged by the bank in cnnectin with the misuse f the card. Als, the cardhlder may be subject t disciplinary actin. Frward a mnthly purchasing card lg f all purchases, receipts and statements t the apprpriate Vice-President fr apprval, and then t accunts payable fr prcessing by the 15 th f the statement mnth. Reslve the disputed purchases, credits r billing errrs. Disputes r errrs that cannt be reslved will be referred t the purchasing agent r Directr f Purchasing. Prvide any infrmatin necessary t minimize the liability fr a lst r stlen card. Issuance f the purchasing card All requests fr purchasing cards will be made by the authrized department fficial via the Purchasing Card Request Frm lcated n the Cllege f Central Flrida intranet and frwarded t the apprpriate Vice President fr apprval. Frward applicatin t the purchasing agent r Directr f Purchasing fr prcessing. The purchasing card will have the emplyee s name, the cllege s name and lg, the tax-exempt certificate number, and the expiratin date embssed n the face f the card. Once the purchasing card is received at Cllege f Central Flrida, the cardhlder will be required t attend a training sessin n the use f the card. After training, the cardhlder will be required t sign a cardhlder agreement and will be given the purchasing card, a cpy f the purchasing card prcedures, a Cnsumer s Certificate f Exemptin, and a cpy f the cardhlder agreement. Any emplyees apprved fr a transactin limit that exceeds Categry 1 (F.S ) shall cmplete and file a Statement f Financial Interest (F.S (3) (a) 1 r (b) 1. Changes t the purchasing card Changes t the card must be submitted t the purchasing agent r Directr f Purchasing with the apprval f the apprpriate Vice-President using the Purchasing Card Request frm fr revisins. Training All cardhlders will be briefed n infrmatin that cvers plicies and prcedures fr use f the purchase card, rdering and payment prcessing, purchasing card security, and the terms and cnditins f the cardhlder agreement befre receiving the card. Travel The cardhlder may cntact a travel agency recmmended by the cllege r make travel arrangements directly nline thrugh the Internet. If purchasing airline tickets, making htel reservatins, r paying fr registratin thrugh the Internet print a cpy f the items and attach it

4 Prcurement Card (Visa Purchasing Card) Page 4 t the Purchasing Lg that is submitted t accunts payable mnthly. The purchasing card shuld nt be used fr persnal travel under any circumstances. All travel shall cmply with the cllege travel plicy. Prir apprval f travel shuld be btained in advance f making reservatins, paying fr registratins, r paying fr airline travel. Purchasing card security The named cardhlder is the nly persn authrized t use the purchasing card. T prevent against theft r fraudulent use: The cardhlder is respnsible fr keeping the purchasing card in a safe, secure place at all times and taking necessary precautins t prevent the accunt number frm being stlen r used by thers. Emplyees shuld nt give their card infrmatin t ther emplyees t use fr purchases. Lst r stlen cards The cardhlder must immediately ntify the cllege s purchasing agent r prgram administratr f a lst r stlen purchasing card. The apprpriate department supervisr shuld als be ntified as sn as pssible. The cardhlder will submit a written reprt t the prgram administratr within tw (2) business days f the incident. The reprt shall include: Purchasing card number, Cardhlder and department name, Date and lcatin f lss, Date and time the issuing institutin was ntified, Purchases made the day the card was lst/stlen r last used, Any ther cmments r descriptins. Replacement Card T btain a replacement card, the emplyee will cmplete a new applicatin fr purchasing card, attend training and sign a new cardhlder agreement. If the riginal card is fund after it has been replaced, the emplyee will send it t the prgram administratr fr it t be destryed. The Purchasing Department will request a new card fr the emplyee via SunTrust s Enterprise Spend Platfrm (ESP). Vendr Ntificatin f Lst, Stlen, r Canceled Cards Vendrs wh have the cardhlder s card number n file (such as subscriptin(s), mail rder(s), and telephne rder(s) shuld be cntacted t ensure that they update their recrds t reflect that a card was lst, stlen r canceled and the accunt number n file is destryed. All cntact with the vendr shuld be dcumented, in writing, and shall be sent t the purchasing agent r the Directr f Purchasing. Terminatin, Retirement r Resignatin f Cardhlder When an emplyee ends emplyment with Cllege f Central Flrida, r fails t fllw purchasing card prcedures, the emplyee shall surrender their purchasing card t either the purchasing agent r Directr f Purchasing wh will then destry the card. Regardless f

5 Prcurement Card (Visa Purchasing Card) Page 5 whether r nt the card is returned r destryed, the p-card will be disabled in the ESP. Cnfirmatin will be shwn in the Audit Reprt f ESP. Authrized Use f the Card The purchasing card may nly be used by the emplyee whse name is embssed n the purchasing card. N ther persn is authrized t use the card. Use f the card will be limited t cmmdities that are pre-authrized fr purchase and with vendrs that accept VISA cards. The purchasing card cannt be used fr any persnal use. Any such use will require immediate reimbursement and culd result in disciplinary actin up t and including dismissal. Ordering Prcedures The cardhlder may initiate cllege-related purchases fr his/her designated department. The card may nly be used fr authrized cmmdities and services. A list f vendrs is available in Jenzabar. Purchasing card transactins will be limited t pre-established dllar limits and cmmdity classificatins that will be explained during the training sessin. Orders can be made ver-the-cunter, via telephne, mail rder, r the Internet. Persnal use and sharing f cards is prhibited and may result in the revcatin f the purchasing card and serius disciplinary actins. Orders shuld meet the fllwing criteria: The ttal cst f any transactin must nt exceed the established single purchase limit specified including freight. A single purchase may be cmprised f multiple items purchased in ne transactin. All items purchased t meet a single requirement must be purchased in ne transactin. A single purchase shall nt be split int tw r mre transactins t stay within the single purchase r cardhlder limit. Any cardhlder in vilatin f this requirement may be subject t frfeiture f the use f the purchasing card. The rder shuld be delivered r picked up in ttal. Partial deliveries r back rders will be accepted, in unusual circumstances. Fr partial deliveries r back rders, cntract the prgram administratr. Funds must be available in the departmental budget fr the purchase. All freight, if applicable, must be added t the invice by the vendr at the time f purchase. The ttal cst f any transactin must nt exceed the cardhlders established single purchase limit. Prvide vendr with Cllege f Central Flrida s tax-exempt number. All purchases made by telephne, ver-the-cunter, fax r internet are tax-exempt. The vendr must be infrmed that the purchases are fr fficial Cllege purpses and are nt subject t Flrida State sales tax. If rders are placed by telephne r the Internet, the cardhlder must cnfirm that the vendr will charge the purchasing card nly when shipment is made and nly fr the gds being shipped s that receipt f the cmmdities may be certified n the mnthly statement f accunt frm SunTrust. The custmer cpy f the receipt must be mailed t the cardhlder r picked up by the cardhlder. Fr purchases made via the Internet, a screen print frm the Internet site, which indicates that is the receipt, may be printed fr receipt purpses. In rder t ensure that the gds are sent prmptly t the crrect department, indicate the name f the department and address t which the vendr shuld send the gds.

6 Prcurement Card (Visa Purchasing Card) Page 6 Obtain the ttal cst f the rder frm the vendr (including shipping, if applicable) befre placing the rder t ensure that it des nt exceed the cardhlder limit. Remind the vendr that a receipt is needed fr all purchases. If a receipt is nt btained r is lst, the cardhlder shall submit the Missing Receipt describing the transactin (what, when, where and dllar amunt) and use this frm in place f the receipt. Fllw all State f Flrida purchasing laws, rules, and regulatins. Prhibited Purchases The purchasing card may NOT be used fr the fllwing: Cash advances are nt permitted under any circumstances, Rental r lease f land r buildings, Lng distance telephne calls, Purchase f cnsultant r persnal services, Alchlic beverages, Nn-cllege related purchases r purchases made fr persnal use Orders fr services, except minr repairs (less than $750) t equipment, Splitting transactins t bypass cardhlder limits, Gasline (NOTE: fr rental cars r cllege vehicles, cllege gasline cards are available at the cashier s ffice n the Ocala Campus (Building 5) and Citrus Campus (C1); r traveler can seek reimbursement f persnal funds used.) Persnal Meals Allwed exceptins/examples: a. Catering fr publicly nticed District Bard f Trustee Meetings. b. Club Advisrs may use the card t purchase fd fr authrized club events. c. Fd/meals/catering t be paid frm cllege activity funds. Exceptins: (a) In the event f an emergency r special circumstances the President, Vice President f Administratin & Finance, r Directr f Purchasing has authrity t apprve exceptins. Vilatins may result in suspensin f P-card privileges and disciplinary actin. Purchase Denied at Pint f Sale Machine Occasinally a cardhlder may attempt t purchase items frm a vendr and the purchase may be denied. The reasn fr denial will be available the next day after the purchase is attempted. Sme f the mst cmmn reasns fr denial include: The purchase frm the vendr may be greater than the cardhlder s limit. The cardhlder may attempt t make a purchase frm a vendr categry cde that is nt authrized by the cllege. Taxes Purchases made in Flrida are exempt frm Flrida Sales and Use taxes. The cllege s taxexempt identificatin number is printed n the face f the purchasing card. Business card size tax exempt frms are available thrugh the purchasing ffice. Purchases made in ther states are generally subject t that state s sales tax.

7 Prcurement Card (Visa Purchasing Card) Page 7 Recrdkeeping Prcedures The Enterprise Spend Platfrm is used t recrd purchases made using the purchasing card. The platfrm maintains and shws the cardhlders name, card accunt number, department, descriptin f items purchased, date f purchase, amunt and vendr infrmatin. Sun Trust will electrnically mail individual statements t each cardhlder and a cnslidated summary t accunts payable. The individual cardhlder will recncile all purchasing card purchases fr the mnth and frward t their respective supervisr wh in turn frwards the dcument t their Vice-President wh then sends the dcuments t accunts payable. Prcedures fr Disputed Charges First and fremst, if the cardhlder has a prblem with a billing it is their respnsibility t cntact the vendr and try t reach reslutin. If the amunt n the vendr statement is incrrect, request that the supplier credit the card as sn as pssible. The cardhlder shuld dcument all attempts t reslve any prblems. If a card is fraudulently used and cnfirmed, the individual cardhlder must g int the Enterprise Spend Platfrm (ESP) and mark the transactin(s) as disputed and this prcess will pre-ppulate a dispute frm. This actin must take place immediately upn the individual understanding that the card was fraudulently used. Print the frm, cmplete it and the cardhlder must sign the frm. Depending n the reasn fr the dispute, the cardhlder maybe required t send additinal infrmatin with the dispute frm. Withut the necessary dcumentatin SunTrust will nt be able t prceed with the dispute. Send the dispute frm alng with all dcumentatin t the Directr f Purchasing wh will then frward t the apprpriate persnnel at SunTrust. SunTrust will cmplete a prcess t transfer the histry f the blcked accunt t a new Accunt and issue a new plastic credit card. This prcess takes an average time f 48 hurs. Belw is the prcedure ne shuld use fr disputed charges: In the ESP platfrm g t main menu Click n My Accunt Manager Click n Transactin Search T the right under Transactin Type and Status click n disputed transactins Frm will pre-ppulate. Fill ut, sign and frward t the Directr f Purchasing Prcedures fr Handling Returns If an item needs t be returned, the cardhlder shuld return the item(s) t the vendr within ten (10) business days fr replacement r credit. Any actin taken under this prvisin shall be dcumented in writing. Fr items returned in persn t the vendr, make a cpy f the riginal receipt and attach it t the Return Material Request. This frm is t be attached t the statement reprt and explains the reasn fr the return. Take the riginal invice and item(s) t be returned t the vendr, and present the purchasing card with the riginal purchase receipt t the cashier t prcess the credit.

8 Prcurement Card (Visa Purchasing Card) Page 8 Fr items returned via mail, make a cpy f the riginal receipt and attach it t the Return Material Request. This frm is t be attached t the statement reprt and explains the reasn fr the return. Mail the riginal invice, the Return Material Request and item(s) t be returned t the vendr fr either credit r replacement. Obtain the credit receipt frm the vendr and attach it t the statement reprt fr the mnth when the credit appears n the statement. Retain a file cpy. Under n circumstances, take cash fr returned merchandise. Prcedure fr Handling Prcurement Card Spending Rebates Any rebates will be depsited in Fund 1 t ffset the perating csts assciated with administering the P-Card prgram. Vice President, Administratin and Finance Date Apprved by President Date