ADMINISTRATIVE GUIDELINES POLICY 6714 DISTRICT CREDIT CARD USE. Blue Valley School District Purchasing Card Program Overview

Transcription

1 ADMINISTRATIVE GUIDELINES POLICY 6714 DISTRICT CREDIT CARD USE Blue Valley Schl District Purchasing Card Prgram Overview Blue Valley Schl District has partnered with Cmmerce Bank fr a VISA purchasing card prgram. The purpse f the prgram is t establish a mre efficient, cst-effective methd f purchasing and paying fr small dllar transactins. The VISA purchasing card is nt intended t avid r bypass any purchasing requirements. The purchasing card prgram is intended t cmpliment the already established purchasing practices. This guideline prvides the details which explain hw cards are issued, respnsibilities f card hlders, dcumentatin requirements, and an verview f allwable expenses. Prper recrd keeping is essential t the success f this prgram. Therefre, it is the respnsibility f the cardhlder t ensure there is prper receipts and dcumentatin as utlined in this guideline. The cardhlder is respnsible fr the security f this card and the transactins made. The card is issued in the name f the emplyee and any purchases are their respnsibility. Use f the card in vilatin f established guidelines may result in persnal liability and pssible disciplinary actin. Requesting a New Card: All cards are issued at the written request f a District Administratr. Requests are accepted via . The business ffice uses standard credit limits. Exceptins t these predetermined limits are granted n a limited basis. Hwever, they nly ccur with written request frm the emplyee s supervisr. The Business Office will rder the card frm the bank. The card will nly be mailed t the district ffice. Once the card arrives, cntact will be made with the cardhlder. The Business Office will make arrangements t prvide the cardhlder a set f the purchasing card guidelines and their card. It is the respnsibility f the cardhlder t read and fllw the guidelines. The cardhlder shuld check with their Building r Department Administratr t see if they are required t give the card t the bkkeeper and check it ut when needed. Cards may be rescinded at any pint in time. The request fr a card des nt mean that the card can t be canceled at a later date. This culd ccur because f a change in manager r imprper use f the card. 1

2 The Budget Administratr determines hw the cards are used within their building r department. This includes what a user can purchase (within district parameters) and if the user keeps the card r if it is checked ut as needed. Requesting a Temprary Limit Increase: The Budget Administratr is respnsible fr sending all requests fr temprary limit increases t the Business Office. These requests must include the fllwing infrmatin: The cardhlder name. The temprary limit amunt. The reasn fr the temprary increase. The requested time perid fr the increase (typically fr a perid f 1 mnth). Canceling a Card: T cancel a card, the budget administratr shuld ntify the Business Office f the cancellatin. These are accepted via . The Business Office will cancel the card nce they receive the cancellatin request. After yu have made the request, cut the card in half and frward it t the Business Office. This needs t ccur if the emplyee leaves the District r mves t anther building r department. Requesting a Travel Card: Staff must fllw the District travel guidelines. If a purchasing card is required fr the trip, staff (ther than administratrs) must check-ut a travel card frm the Business and Finance ffice. Reprting an Errr r Dispute: When charges appear t be incrrect, the cardhlder shall take the fllwing steps: 1. Ntify the Budget Administratr. 2. The cardhlder shuld attempt t reslve the dispute with the merchant. If unsuccessful, cntact Cmmerce Bank's Custmer Service Center at the number listed n the back f the card within 30 days f the disputed item's statement date. 3. The Budget Administratr shall cmmunicate the errr r dispute t the Senir Accuntant at Ext Changes t Cardhlder Infrmatin: The Budget Administratr shuld send all requested changes t the Business Office. The mst cmmn change in cardhlder infrmatin is a name change. The Business Office will review the request and wrk with the Bank t make the necessary revisins. Reprting a Lst r Stlen Card: Each cardhlder is respnsible fr safeguarding their purchasing card. T prevent unauthrized purchasing card use: Safeguard cards and card numbers at all times. Prhibit thers frm using yur purchasing card. 2

3 If a card is lst r stlen: 1. Immediately reprt lst r stlen cards t Cmmerce Bank 1(800) Recrd the name f the persn yu spke t. 3. Recrd the reference number prvided by Cmmerce Bank. 4. Infrm Department Directr r Building Administratr. CARDHOLDER RESPONSIBILITIES & REQUIREMENTS At the time f issuance, the Budget Administratr will advise the cardhlder f all restrictins that apply t the card, such as number f transactins allwed per perid, maximum transactin amunt, and type f purchases allwed. The cardhlder must fllw these department r building guidelines. Never give ut the card number r give the card t anther emplyee t make a purchase. The cardhlder agrees t prvide all riginal receipts (itemized with detail) fr each transactin. This includes charge slips, cash register receipts, invices and packing lists assciated with card purchases. Yu are als encuraged t keep cpies fr yur recrds. The cardhlder agrees t fllw all district plicies, prcedures and guidelines related t purchasing and the use f the purchasing card. Thse guidelines can be fund n the District intranet. The cardhlder will ntify Cmmerce Bank and Business Office immediately if a card is lst r stlen. Prir t making purchases, the cardhlder will ensure they have a full understanding f hw their supervisr allws them t use their purchasing card t make purchases. Sme supervisrs will want t pre-apprve each purchase, sme supervisrs will allw the cardhlder t make defined purchases withut pre- apprval, and sme supervisrs will allw the cardhlder t use their card with sme ther general purchasing guidance. The cardhlder s schl / department will be respnsible fr all charges incurred frm the use f the card. The cardhlder will ensure that purchases made in Kansas and Missuri are tax exempt. Fr telephne r catalg rders, make sure cmplete shipping address and instructins are given alng with yur name. All shipments are t be sent t yur business address. Items shuld nt be sent t a persnal address. The cardhlder agrees t wrk directly with Cmmerce Bank t reslve errrs and disputes. Never accept cash fr credit card returns. Request that the merchant credit the credit card accunt. Immediately ntify the Budget Administratr and the Business Office at Ext f changes in cardhlder status. 3

4 Keep prper recrds and ensure the riginal receipts are turned in t the apprpriate persn. This includes: Wh - Dcument the persn r persns n whm the mney was spent (primarily applicable fr meals/entertainment expenses). Fr grups f 5 r less, list each name. Fr grups f 6 r mre, list the ttal number in the grup. What - Dcument what was purchased if nt cmpletely evident n the frnt f the receipt Where - Dcument where the purchase was made if nt cmpletely evident n the frnt f the receipt When - Dcument when the purchase was made if nt cmpletely evident n the frnt f the receipt Why - Dcument why the funds were spent - specifically the business purpse. The mre detail given here, the better (primarily applicable fr meals/entertainment expenses) An Accunt Number fr the charging f the expense. The cardhlder agrees t participate in a training n a yearly basis in rder t learn the prper prcedures fr using the purchasing card. THE CARDHOLDER SHALL NOT MAKE PERSONAL PURCHASES ON THE PURCHASING CARD. Cardhlder understands that they are persnally liable fr any imprper use f the purchasing card and agrees t re-pay t the issuer f the card r the District fr purchases. The Cardhlder understands that his/her imprper use f the purchasing card may result in disciplinary actin by the District up t and including terminatin. The Cardhlder understands that shuld his/her emplyment with the District terminate fr any reasn, the purchasing card must be returned t the Business Office. The Cardhlder understands that the District may withdraw authrizatin t use the purchasing card and require the return f the card at any time. The Cardhlder understands the purchasing card is fr the purchase f small cmmdity items. The purchasing card shuld nt be used t buy capital items (items abve $ ). All purchases must cmply with accunting guidelines, purchasing guidelines, district guidelines and plicies. The fllwing items are examples f what CAN NOT be purchased with the purchasing card. This list is nt all inclusive: Alchlic beverages Fixed Assets (Furniture and Equipment at r abve $1,000 in value) Cash advances Cnstructin, renvatin r installatin expense (prir apprval is necessary) Persnal items Telephnes and related equipment Weapns, ammunitin Gas/Fuel (expectatin fr thse cards that are designated as fuel cards) 4

5 Purchase f Gds: As stated in the guidelines, the purpse f the purchasing card prgram is t establish a mre efficient, cst-effective methd f purchasing and paying fr small dllar transactins. Hwever, it is preferred that the traditinal purchase methd f Purchase Orders (PO s) is used when pssible. That is why the standard purchasing limits f mst cards are relatively small (arund $250). There are higher limits fr certain emplyees r when a temprary limit increase is requested. The District des have established purchasing guidelines that utlines the requirements f qutes r bids fr purchases in excess f $6,999. The VISA purchasing card is nt intended t avid r bypass any state laws r District guidelines. The purchasing card prgram is intended t cmpliment the established purchasing practices. Purchase f Services: The District des have established purchasing guidelines that utline the requirements f qutes r bids fr purchases. This includes the purchase f services. In additin, there are limitatins n wh can sign a cntract. It is very cmmn that service prviders als have a cntract requirement as a part f their purchasing practices. - It is allwable t use the purchasing card t make purchases f a service (under $3,000). Hwever, it is preferred that a PO is used when pssible. - As always, purchases must be apprved by yur Building r Department Administratr. - As stated in the District purchasing guidelines, there are qute r bid recmmendatins and requirements fr purchases in excess f $6,999. The VISA purchasing card is nt intended t avid r bypass any purchasing requirements. - Cntracts Summary The Business Office is certainly happy t assist anyne with cntracts. The Business Office must be invlved nce the cntract reaches $3,000. Only Administratrs may sign cntracts Schl Administratrs may sign cntracts at r belw $2,999. Executive Cabinet Administratrs may sign cntracts between $3,000 and $19,999. Hwever, a cpy f the cntract must be frwarded t the Business Office s they can be reprted t the Bard f Educatin. Cntracts that reach $20,000 are nly prcessed by the District ffice. These must be apprved by the Bard f Educatin and nly the Bard f Educatin President can sign these agreements. 5

6 Purchase f Technlgy and Sftware: It is preferred that all technlgy (hardware, sftware and web subscriptins) be purchased using a Purchase Request / Purchase Order. Hwever, there are limited situatins where the use f the purchasing card t make these types f purchases is the best methd. It is nly allwable t use the purchasing card t purchase technlgy when pre-apprved by Susie Greer in ITS. Yu must ITpurchase@bluevalleyk12.rg t request apprval fr a technlgy purchase. Yu must receive written ( ) cnfirmatin prir t making the purchase. The written ( ) apprval must then be attached t yur receipt when turning in yur required dcument. BUDGET ADMINISTRATOR RESPONSIBILITIES Advise the cardhlder f any restrictins r building/department practices regarding the purchasing cards. Request purchasing cards fr designated emplyees. Cntinually assess cardhlder's eligibility t have a purchasing card. Review mnthly Purchasing Card Summary (Audit Reprt) Address all items flagged by the bkkeeper r administrative assistant. O Ultimately respnsible fr btaining missing receipts r alternative dcumentatin if a receipt is nt available. Sign ff n all legitimate charges. Ensure that building and department staff have apprpriate cmmunicatin and training regarding the purchasing card. This includes changes in the prgram r audit fllw-up items. Determines that purchases are nly fr items used by the District. Assist in reslutin f disputes and errrs. Cllect and cancel cards frm Cardhlders wh end emplyment. This requires cmmunicatin with the Business Office t frmally cancel the card. Ntify Business Office regarding lst r stlen cards. Assist Business Office in the suspensin f cards as required. Cmmunicate with staff members that have purchasing card findings fund during the mnthly audit prcess. BUSINESS OFFICE RESPONSIBILITIES Crdinate the prgram and respnds t purchasing card related questins and guideline issues. Participate in nging prgram reviews. Crdinate all card requests. Assist cardhlders in reslutin f billing disputes when cardhlders' attempts are unsuccessful. Ntify Budget Administratrs f changes that affect cardhlders spending limits and/r status. Ntify Budget Administratrs f changes that require re-issuance f a purchasing card. Cmmunicate with Budget Administratr and Executive Cabinet member when a card needs t be suspended thrugh the audit prcess. 6

7 ACCOUNTS PAYABLE RESPONSIBILITIES Prcess apprved payments and maintain related dcumentatin. BUILDING BOOKKEEPER RESPONSIBILITIES Perfrm the first detailed review f receipts. Review the expenditures fr reasnableness and ensure that the charges are allwable in the accunt/fund they are charged t. Ensure that purchasing guidelines were fllwed, when applicable. Make an initial attempt t btain any missing receipts. Missing receipts r questinable charges that are unreslved will be flagged and given t the Building Principal fr final review and signff. Obtain all receipts fr the Principal s charges. ADMINISTRATIVE ASSISTANT RESPONSIBILITIES (District Office) Perfrm the first detailed review f receipts. Review the expenditures fr reasnableness and ensure that the charges are allwable in the accunt/fund they are charged t. Ensure that purchasing guidelines were fllwed, when applicable. Make an initial attempt t btain any missing receipts. Ensure missing receipts r questinable charges that are unreslved will be flagged and given t the Executive Directr r immediate Supervisr. JUNIOR ACCOUNTANT RESPONSIBILITIES Perfrm mnthly purchasing card transactin audit. Create mnthly reprt with identified fllw-up areas. Recrd fllw-up f items as identified. Examine activity fund and petty cash detail t ensure that expenses are nt being reimbursed if they are charged n a purchasing card. SENIOR ACCOUNTANT RESPONSIBILITIES Add/Update emplyees in the VISA nline system. Truble sht system and nline access issues. Distribute Mnthly Fuel reprts t users fr recnciliatin. Cllect Unallcated Transactin data frm card recncilers. Cmpile and Recnciles Mnthly District Wide Bill fr payment. 7

8 Audit f Purchases - BUILDING: The cardhlder will turn all receipts in t their respective bkkeeper. The receipt shall cntain the fllwing infrmatin: Wh Required nly fr fd purchases. Dcument the persn r persns n whm the mney was spent (primarily applicable fr meals/entertainment expenses). Fr grups f 5 r less, list each name. Fr grups f 6 r mre, list the ttal number in the grup. What - Dcument what was purchased if nt cmpletely evident n the frnt f the receipt. Where - Dcument where the purchase was made if nt cmpletely evident n the frnt f the receipt. When - Dcument when the purchase was made if nt cmpletely evident n the frnt f the receipt. Why Required nly fr fd purchases. Dcument why the funds were spent - specifically the business purpse. The mre detail given here, the better (primarily applicable fr meals/ entertainment expenses) An Accunt Number t charge the expense t. 1. The bkkeeper will be respnsible fr perfrming the first detailed review. They will review the expenditures fr reasnableness and ensure that the charges are allwable in the accunt/fund they are charged t. They will als ensure that purchasing guidelines were fllwed, when applicable. They will make an initial attempt t btain any missing receipts. Any missing receipts r questinable charges that are unreslved will be flagged and given t the Building Principal fr final review and signff. The bkkeeper will als btain all receipts fr the Principal s charges. 2. The Principal will address all flagged items and will ultimately be respnsible fr btaining missing receipts r alternative dcumentatin if a receipt is nt available. The Principal will sign ff n all legitimate charges. The Executive Directr f Schl Administratin (East/West) will review all charges made by Principals in cnjunctin with a draft f the mnthly audit reprt that will be prepared by the Junir Accuntant. 3. Schl persnnel will frward the entire packet, with all receipts t the Senir Accuntant at District ffice. A representative frm the Accunts Payable department will be respnsible fr btaining all packets frm the schls fr payment prcessing. 4. The packets will then be given t the Junir Accuntant t cmplete apprpriate audit prcedures. The prcedures will include, but nt be limited t, a review f all transactins and supprting dcumentatin fr reasnableness and apprpriate dcumentatin. Audits will be perfrmed n a mnthly basis. During this review, an examinatin f activity fund and petty cash detail will be perfrmed t ensure that 8

9 expenses are nt being reimbursed if charged n a purchasing card. 5. Purchasing Card Finding Levels The Junir Accuntant will prepare a mnthly reprt that utlines the exceptins that were nted. The audit and finding reprt prepared by the Junir Accuntant will nte exceptins using the criteria defined belw. The reprt will be given t the Business Office and Accunting. This infrmatin will be used t identify trends and t determine if crrective actin r escalatin t executive administratin is necessary. High Pririty - Tw r mre High Pririty findings (n any district purchasing card persnal, fuel, travel, student travel) within 6 mnths, results in a three mnth purchasing card suspensin. The staff member will nt be able t use any purchasing card in the District. This includes student travel, staff travel, r fuel. - After the first suspensin, if there is anther tw r mre High Pririty findings within a year frm the first suspensin the staff member will have their purchasing card suspended fr a perid f six mnths. Again, the staff member will nt be able t use any purchasing card in the District. This includes student travel, staff travel, r fuel cards. High Pririty Findings are defined as fllws: N receipt N itemized receipt (ver $75) N Business Purpse ntatin (Fd Receipts) N list f attendees (Fd Receipts) 5 Peple r Less List all Individual Names Mre than 5 peple list grup and number f attendees Purchase f Fixed Assets (Items abve $1,000) Receipt des nt match statement Item shipped t a persnal address Gift cards purchased (fr staff) with District Funds. Gift card purchase withut backup dcumentatin. Sales tax charged n purchase in excess f $100 (KS & MO nly) Alchlic beverages purchased Charging f Rm Service Purchase f technlgy withut apprval Fcused Pririty (Several ccurrences culd result in suspensin f card) N itemized receipt (under $75) N receipt, packing list nly withut pricing N dllar amunt n receipt 9

10 Sales tax charged n purchase between $50-$99 (KS & MO nly) Purchase f a nn-standard technlgy and furniture. There are items under the fixed asset limit f $1000, but we have defined a District-wide standard (e.g. printer, DVD player, TV, i-pads, cmputers, furniture). Therefre, yu need t fllw the prcedures utlined in the Purchase f Technlgy and Sftware sectin r wrk with the business ffice when yu are purchasing furniture. Area fr Imprvement (Multiple ccurrences culd result in suspensin f card) Receipt was illegible Excessive tip ver 20% Fd is purchased n a fuel card Alchlic beverages purchased & reimbursed by persnal check Persnal purchase reimbursed by persnal check Fr Infrmatinal Purpses Only (Nt a finding unless excessive instances) Part f the receipt was missing Receipt nt legible Receipt illegible due t fading Sales tax charged n a purchase less than $50 (KS & MO nly) Nt an riginal receipt (faxed cpy frm the merchant is OK) Audit f Purchases DISTRICT OFFICE The cardhlder will turn all receipts in t their respective administrative assistant. The cardhlder will be respnsible fr ensuring that the fllwing infrmatin is included n the back f each receipt (r ther dcumentatin) turned in. Wh- Required nly fr fd purchases. Dcument the persn r persns n whm the mney was spent (primarily applicable t meals/entertainment expenses). Fr grups f 5 r less, list each name. Fr grups f 6 r mre, list the ttal number in the grup. What - Dcument what was purchased if nt cmpletely evident n the frnt f the receipt. Where - Dcument where the purchase was made if nt cmpletely evident n the frnt f the receipt. When - Dcument when the purchase was made if nt cmpletely evident n the frnt f the receipt. Why Required nly fr fd purchases. Dcument why the funds were spent - specifically the business purpse. The mre detail given here, the better (primarily applicable fr meals/ entertainment expenses) An Accunt Number t charge the expense t 1. The administrative assistant/designated party will be respnsible fr perfrming the first detailed review. They will review the expenditures 10

11 fr reasnableness and ensure that the charges are allwable in the accunt/fund they are charged t. They will als ensure that purchasing guidelines were fllwed, when applicable. They will make an initial attempt t btain any missing receipts. Any missing receipts r questinable charges that are unreslved will be flagged and given t the Executive Directr r immediate supervisr. 2. The Executive Directr/immediate supervisr will address all flagged items and will ultimately be respnsible fr btaining missing receipts r alternative dcumentatin if a receipt is nt available. If they chse t designate smene t perfrm this fllw-up, it will be understd that they will still be ultimately respnsible fr the final sign-ff n all purchasing card activity in their departments. 3. The Executive Directr/immediate supervisr will sign ff n all legitimate charges. They will frward the entire packet, with all receipts t the Junir Accuntant. 4. All charges made by an Executive Directr must be reviewed and signed by their supervisr. 5. All charges made by the Superintendent and the Deputy and Assistant Superintendents must be reviewed and signed ff n by the Executive Directr f Business and Finance r the Directr f Accunting and Auditing (in absence f prir). 6. The entire packet, with all receipts, shuld be frwarded t the Junir Accuntant within the finance department. A representative frm the Accunts Payable department will be respnsible fr btaining all packets frm the district ffice fr payment prcessing. 7. The packets will then be given t the junir accuntant t cmplete apprpriate audit prcedures. The prcedures will include, but nt be limited t, a review f all transactins and supprting dcumentatin fr reasnableness and apprpriate dcumentatin. Audits will be perfrmed n a mnthly basis. During this review, an examinatin f petty cash detail will be perfrmed t ensure that expenses are nt being reimbursed if they are charged n a purchasing card. 8. Purchasing Card Finding Levels The Junir Accuntant will prepare a mnthly reprt that utlines the exceptins that were nted. The audit and finding reprt prepared by the Junir Accuntant will nte exceptins using the criteria defined belw. The reprt will be given t the Business Office and Accunting. This infrmatin will be used t identify trends and t determine if crrective actin r escalatin t executive administratin is necessary. 11

12 High Pririty - Tw r mre High Pririty findings (n any District purchasing card persnal, fuel, travel, student travel) within 6 mnths, results in a three mnth purchasing card suspensin. The staff member will nt be able t use any purchasing card in the District. This includes student travel, staff travel, r fuel. - After the first suspensin, if there is anther tw r mre High Pririty findings within a year frm the first suspensin the staff member will have their purchasing card suspended fr a perid f six mnths. Again, the staff member will nt be able t use any purchasing card in the District. This includes student travel, staff travel, r fuel cards. High Pririty Findings are defined as fllws: N receipt N itemized receipt (ver $75) N Business Purpse ntatin (Fd Receipts) N list f attendees (Fd Receipts) 5 Peple r Less List all Individual Names Mre than 5 peple list grup and number f attendees Purchase f Fixed Assets (Items abve $1,000) Receipt des nt match statement Item shipped t a persnal address Gift cards purchased (fr staff) with District Funds. Gift card purchase withut backup dcumentatin. Sales tax charged n purchase in excess f $100 (KS & MO nly) Alchlic beverages purchased Charging f Rm Service Purchase f technlgy withut apprval Fcused Pririty (Several ccurrences culd result in suspensin f card) N itemized receipt (under $75) N receipt, packing list nly withut pricing N dllar amunt n receipt Sales tax charged n purchase between $50-$99 (KS & MO nly) Purchase f a nn-standard technlgy and furniture. There are items under the fixed asset limit f $1000, but we have defined a District-wide standard (e.g. printer, DVD player, TV, i-pads, cmputers, furniture). Therefre, yu need t fllw the prcedures utlined in the Purchase f Technlgy and Sftware sectin r wrk with the business ffice when yu are purchasing furniture. Therefre, yu need t fllw the prcedures utlined in the Purchase f Technlgy and Sftware sectin r wrk with the Business Office when yu are purchasing furniture. 12

13 Area fr Imprvement (Multiple ccurrences culd result in suspensin f card) Receipt was illegible Excessive tip ver 20% Fd is purchased n a fuel card Alchlic beverages purchased & reimbursed by persnal check Persnal purchase reimbursed by persnal check Fr Infrmatinal Purpses Only (Nt a finding unless excessive instances) Part f the receipt was missing Receipt nt legible Receipt illegible due t fading Sales tax charged n a purchase less than $50 (KS & MO nly) Nt an riginal receipt (faxed cpy frm the merchant is OK) An emplyee issued a district purchasing card is required t cmplete and sign the agreement belw: BLUE VALLEY SCHOOL DISTRICT USD 229 BUSINESS PURCHASING CARDHOLDER AGREEMENT Name f Cardhlder: Cardhlder Business Address: Department/Schl Name Cardhlder Business Phne N: I agree t accept respnsibility fr the prtectin and prper use f the Purchasing Card in accrdance with the terms and cnditins utlined within the Blue Valley Schl District purchasing card guidelines. I will read and review the guidelines t ensure that I have an understanding f what is allwable. Cardhlder Signature: Date: Revised September