PURCHASING CARD
(P-CARD) MANUAL
Updated: February 8, 2018
NOTES:
IMPORTANT PHONE NUMBERS AND CONTACTS
Primary P-Card Administrator:
CUPO: Karen Martin 912-279-5750 –
Backup P-Card Administrator:
Comptroller: Michelle Ham 912-279-5744 –
Buyer III: Donna Smith 912-279-5753 –
To access a sales tax exemption certificate, go to the college website: , click on Offices, Business Office, Business Services Forms, Sales Tax Certificate of Exemption. Complete the top section of the form with the vendor information before providing to the vendor.
CCGA’s Federal Identification Number: 580939565
To report lost, stolen or fraudulently used p-cards:
1.Call Bank of America (1-888-449-2273)
2.Email DOAS within 24 hours of discovering
loss,theft, or fraudulent use.
3.Contact Cardholder’s Approving Official and the P-Card Administrator
immediately in writing.
Bank of America WORKS website:
CCGA Corporate Address is: College of Coastal Georgia
One College Drive
Brunswick, GA 31520
Table of Contents
1.0 OVERVIEW OF PURCHASING CARD PROGRAM
1.1What is a Purchasing Card?
1.2 Who Can Get a P-Card?
1.3 How Do I Get A P-Card?
1.4 How To Cancel A P-Card Or Update A Card Profile?
2.0 ROLES AND RESPONSIBILITIES
2.1 College/University Procurement Officer (CUPO)
2.2 Purchasing Card Administrator
2.3 Cardholder Supervisors/Approving Officials
2.4Cardholder
2.5 Comptroller
3.0 P-CARD CONTROLS/SECURITY OF P-CARD
3.1 Cardholder Spending Limits
3.2 Merchant Activity Type Limits
3.3 Security of Card
4.0 ALLOWABLE PURCHASES AND SPECIAL APPROVAL UMBRELLA PURCHASES
4.1 Allowable Purchases (Things I CAN Buy With My P-Card)
4.2 Food
a. Student Food
b. Food for Instructional Uses
4.3 Study Abroad
5.0 UNALLOWABLE PURCHASES AND PRACTICES
5.1 Unallowable Purchases (Things I CANNOT Buy With My P-Card)
5.2 Unallowable P-Card Practices
a. Splitting Orders
b. Limitations on Vendors
c. P-Card Sharing
d. Personal Use
e. Exceeding the Single Transaction Limit
6.0 MAKING PURCHASES WITH THE P-CARD
6.1 Approval Procedure
6.2 Provide Vendor with Request/Required Card Information
6.3 Tax Exempt Status
6.4 Shipping Instructions
6.5 Processing Transactions in WORKS- Cardholder Instructions
6.6 Processing Transactions in WORKS– Supervisor/Approver Instructions
7.0 RESOLVING DISPUTES
8.0 MONTHLY RECONCILIATION PROCESS
9.0 TRAINING
10.0 AUDITS
10.1 Approving Officials
10.2 P-Card Administrator
10.3 State Agencies of Authority
11.0 RECORDS RETENTION
12.0 EXCEPTIONS
13.0VIOLATIONS, FRAUD, WASTE, AND ABUSE
13.1 Violations and Written Notices
13.2 Detection and Prevention of Fraud
CHARTS, FORMS, SCHEDULES, AND LINKS
–CHARTS
Charts 1 and 2- Consequences of Non-Compliance and
Examples of Non-Compliance
–FORMS
•P-Card Pre-Approval Purchase Form #CCGA-PCPAPF
•P-Card Profile Request/Change Form #CCGA-PCPRCF
•P-Card Ethical Behavior Agreement Form #CCGA-PCEBA
•Authorization for P-Card Background Checks Form #SPD-PC010
•P-Card Employee Agreement Form #CCGA-PCEA
•P-Card Dispute Form #CCGA-PCDF
•Sample: Works P-Card Transaction Report
–SCHEDULES
•CCGA-VALIDCHARTFIELDBY DEPARTMENT NAME AND FUND NUMBER
•CCGA-VALIDACCOUNTNUMBERS
•STATE OF GEORGIA SALES TAX EXEMPTION CERTIFICATE
•FOOD PER DIEM GUIDELINE CERTIFICATION
Links:
•WORKS Quick Reference Guide for Accountholders
•WORKS Quick Reference Guide for Approvers
Web Site Links:
DOAS P-card Policy:
Bank of America WORKS log-in:
Board of Regents P-card Policy:
1.0 OVERVIEW
This manual has been compiled to provide instructions for theissuance and use of the procurement card along with instructions for reconciliation andreview of card transactions.
1.1What is a Purchasing Card?
The College of Coastal Georgia (hereafter referred to as CCGA or College) ProcurementCard (hereafter referred to as the P-Card) is avaluable tool for quickly and efficiently purchasing and paying for small dollar itemswithout sacrificing control or cost. The card may be used to purchase goods and some services with restrictionsunder $4,999 per transaction (special approval is required for more than $4999), including shipping, handling charges, insurance, etc. Cards canbe used in person, over the phone, fax, via the internet, or by mail. The P-Card can onlybe used for College related business for which institutional funds will be disbursed.
1.2 Who can get a P-Card?
A P-Card may be issued only to permanent,part-time or full-time, CCGA employees whosejob duties require the use of a P-Card. Cards are issued only to individual employees not to departments or divisions. No more than one (1) card may be issuedto an employee.Pursuant to O.C.G.A. 50-5-83both a criminal background check and creditcheck are required on employees hired for positions which require use of a P-Card. Procedures that indicate acceptance or denial of the employee’s request for a p-card is based on predefined criteria furnished to Human Resources. There is an established Human Resources escalation path for denials which provide potential cardholders an opportunity to dispute inaccurate data found on the report.Both checks will be completed and approval provided by Human Resources prior to issuance of the initial p-card and renewals.
1.3How do I get a P-Card?
Contact the P-Card Administrator for instructions on requesting a P-Card.You will be provided the P-Card Profile Request/Change Form (Appendix A-Form #CCGA-PCPRCF) , the P-Card Ethical Behavior Agreement (Appendix A-Form #CCGA-PCEBA), and the Authorization for Purchasing Card Background Checks (Appendix A-Form #SPD-PC010) for completion.
Note: No Cardholder shall be allowed to be his or her own “approving official”. The Department Head must assign a knowledgeable individual actingin a supervisory capacityas the Approving Official. If the cardholder is the only employee of a particular department, the Department Head or next level of authority must be assigned as the Approving official. Note: Signature authorityfor the P-Card approval process may not be delegated.
Upon completion, return both forms to the P-Card administrator. Human Resources will then be notified that criminal and credit background checks are needed. Human Resources will notify the prospective card holder if a release needs to be signed by the employee. Once approval is received from Human Resources that the prospective cardholder has been approved for a card, the P-Card administrator will request the new P-Card from Bank of America and set up a training session for the new P-Card holder and their Supervisor and/or Approving Official. Training is mandatory for all P-Card roles: including Cardholder, Supervisors, and/or Approving Official. Once the training is complete purchasing will notify the employee when the card can be picked up. Purchasing will provide the P-Card Employee Agreement Form (Appendix A-Form #CCGA-PCEA) for signature upon receipt of the new card. By signing this form the Cardholder acknowledges:
1. Receipt and understanding of the regulations for use and protection of the card
2. Understanding of responsibilities for handling billing disputes and reconcilingstatements
3. Understanding and acceptance of consequences of P-Card violations
1.4 How to update acard profile or cancel a card?
When there is a need to update the cardholder profile, the P-Card Profile Request/ Change Form (#CCGA-PCPRCF) must be completed and signed by the cardholder, supervisor, and department head before submitting to the P-Card Administrator. A copy of this form is attached to this document. Changes to the cardholder profile include address changes, name changes, etc.
Card Cancellation Procedures:
The supervisor/approving official must notify the P-Card Administrator when an employee with a p-card is terminated, resigns, or transfers to another department and must collect the p-card from the employee andsubmit it to the P-Card Administrator for destruction of thecard.
2.0 ROLES AND RESPONSIBILITIES:
There are designated roles and responsibilities for each of the positions listed in this section of the manual. These roles and responsibilities ensure adequate internal controls and segregation of duties among those individuals participating in the College p-card program. These roles and responsibilities are not limited to the following listing, but should serve as a guide of what is expected in these areas.
2.1 College/University Procurement Officer (CUPO):
The CUPO is the official liaison between CCGA and the State Cards Program Manager for all matters related to the local p-card program. Since the CUPO and P-Card Administrator is the same person at CCGA all roles and responsibilities are listed under the Program Administrator.
2.2 Purchasing Card Program Administrator:
The CUPO serves as the primary Purchasing Card Program Administrator at College of Coastal Georgia. The Comptroller serves as back-up P-Card Program Administrators.
1. Program Administration and Management:
a. Develops internal p-card policyto ensure that all the minimum requirements are met
including the following, but not limited to:
*Verifies compliance with the Georgia Procurement Manualand P-Card
*Monitors compliance with the GPM and takes appropriate action to correct deficiencies
documenting the action plan and correction action taken
*Ensure compliance with State P-Card Policy and BOR Policy.
*Define responsibilities of all p-card personnel
*Define criteria for obtaining a p-card
*Define acceptable use of p-card that cannot be less restrictive than State andBOR Policy
*Provide a method of reporting suspected misuse or fraudulent use
*List in detail consequences of misuse or fraudulent use
*Review p-card policy annually to confirm adequacy of policy
*Ensureself-audit of P-Card Program by the P-Card Administrator which must be submitted to DOAS no later than December 1st each year.
b. Establish appropriate spending limits on individual cards and the entire program. Review
spending limitsand p-card activity at least annually and make adjustments as needed.
c. Maintain updated P-Card Administrator registration with State Card Manager.
2. Program Compliance/Internal Controls/Reconciliation/Training:
a. Establish written procedures to ensure compliance with all State Policy and laws including
DOAS,BOR,and internal policies.
b. Coordinate and submit any exceptions of State P-card Policy for approval.
c. Ensure the College has appropriate internal controls and other measures to prevent and
detect misuse and fraudulent use of the cards.
d. Verify written procedures for all the following:
*ordering new and replacement cards
*reporting lost, stolen, or compromised cards to Bank of America and the State
Cards Program Manager
*works with management and CFO to monitor cardholder usage
*collecting and destroying cards that are no longer used
*canceling cardsin WORKSsystem that are lost, stolen, no longer used, or cardholder job
termination or transfer to new job.
e. Establish written procedures for documenting misuse or fraudulent use of the p-card
that must meet the following minimum requirements:
*documentation of the transaction (itemized receipt)
*documentation of who initiated and approved the transaction
*personnelactions taken
*bank notification of misuse or fraud.
3. Establish appropriate limits on the number of cardholders assigned to supervisors
or approving officials for adequate review of the transactions and documentation.
4. Develop and ensure appropriate training for all cardholders and supervisors/approving
officials which must include these:
*Mandatory Cardholder Agreement
*State P-CardPolicy
*College P-Card Policy with user instructions, and forms.
5. Establish written procedures of how to use the p-card, security of the p-card, monitoring the
p-card, and maintaining appropriate documentation of all transactions.
6. Ensure all p-card accounting requirements including the following:
*Designate storage location for all original transaction documents
*Establish billing discrepancy and disputed charge procedures
*Establish reconciliation procedures and responsibilities of the cardholders, supervisors/
approving officials, and accounts payable to ensure timely payment of statement and
appropriate expense distribution to the general ledger monthly.
2.3 Supervisors/Approving Officials/Department Heads of Cardholder:
The Cardholder Supervisors/Approving Officials/Department Heads are those individuals which are responsible for reviewing and approving the cardholder transactions. These individuals must understand the cardholders job responsibilities to determine that these type purchases are legitimate for the performance of the cardholder job.Cardholder supervisors/approvingofficial responsibilities include the following:
1. Maintain knowledge of State, BOR, and CCGA P-Card Policy and procedures of card use.
2. Request p-cards for employees they supervise.
3. Approving Official is responsible for notifying the P-Card Administrator of any changes
in employment of their cardholders. Approving Official is responsible for insuring
cardholder surrenders p-card upon position transfer, employment
termination, or any other situation where the cardholder is no longer p-card eligible.
4. Timely monitoring (at least monthly) of all transactions to ensure appropriate state
business use, identify misuse and identify fraud.
5. Review of documentation to ensure the following:
a. all documentation has the required information
b. sales and use tax was not charged
c. purchases were for legitimate state business use
d. transactions signed off in WORKS.
e.signature on the monthly account statement. This signature verifies that the p-card charges
are for legitimate business purposes, required documentation is attached, and that all orders
arereceived by CCGA. This approval cannot be designated.
f. all signatures must be original, no stamps.
g. submitsreconciliation packet with required documentation to P-Card Administrator
insuring timely posting and payment of expense.
2.4 Cardholder:
All cardholders are basically buyers for the State of Georgia and the College. All cardholders should have a good understanding of State, BOR, and CCGA P-Card Policy and procedures. Cardholder responsibilities include the following.
1. Maintain proper security of the card, account number, expiration date, and security code. Only the name on the face of the card is permitted to use the card. Password/login sharing and delegating approval authority is prohibited.
2.Maintain knowledge of State, BOR, and CCGA p-card Policy and procedures.
3.Ensure all purchases are allowable according to the law, policy, and procedures governing
p-card purchasing for the State of Georgia.
4.A P-card Requisition is required for p-card purchases with 2 preapprovals (supervisor, department/division head, budget manager) prior to purchase. The requisition shoulddetail the specific item/s being purchased and the reason for the purchase (i.e. freshwater mussels for Biology 2270 zoology lab experiment, toner for HP Laserjet printer in mailroom).
5. An itemized receipt is required for each p-card purchase.
6.Personal purchases are prohibited on the p-card and purchases must be for official College
Business.
7.Always obtain the best value when making a purchase.
8.Allocate and sign off on transactions in WORKSand maintain all documents required
Including itemized invoices that prove the legitimacy of the purchase.
9.Sign all documents (original signature) required for the monthly reconciliation process.
Cardholder signature on the p-card statement signifies that all required documentation
is attached and that all orders have been received by CCGA.
10.Submit all reconciliation package documents for approving official signature
to ensure timely payment of statement and appropriate expense distribution.
11.Cardholder is responsible for notifying the P-Card Administrator of any changes
in employment. Cardholder is responsible for returning p-card to P-Card Administrator
upon position transfer, employment termination, or any other situation where the
cardholder is no longer p-card eligible.
2.5 Comptroller:
The Comptroller serves as backup to the P-Card Administrators. WORKS automatically generates an email to the P-cardAdministrators and Comptroller for any update in the WORKS System including cardholders, approving officials, p-card administrators, or anyone who has a login under the account for CCGA.
2.6 Chief Financial Officer:
The Chief Financial Officer if responsible for overseeing the card program including the following duties:
1.Successful completion of the CFO Card Program Training module and form.
2.Appointment of the Card Program Administrator
3.Approval of qualified cardholders and approvers.
4.Review and approval of the Annual Self Audit and P-Card Plan and amendments.
5.Review and approve policies with P-Card Administrator.
6.Submit the P-Card Plan and amendments to the College President for approval.
2.7 College President:
The College President is responsible for reviewing and approving the College P-Card Plan and all amendments prior to submission to DOAS/OPB.
3.0 P-CARD CONTROLS/SECURITY OF P-CARD:
Cardholders act as purchasing agents for the College of Coastal Georgia: Expenditures made with the P-Card must be only for those items that are for official College business and for those items allowed to bepurchased using a p-card as outlined in this manual. Additional controls havebeen added to each p-card in order to assist in keeping charges within State ofGeorgia monetary spending limits. These spending limits are embedded in eachP-Card via the magnetic strip and are imposed at the point of sale when the card isswiped.
All P-Cards have spending limits as well as restrictions on merchant category codes.
3.1 Cardholder Spending Limits
The available limits on p-cards include thefollowing:
- Single Transaction Limit (STL) where the cardholder is not to exceed $4,999 per transaction per vendor per day.
- Cycle Limit (CL) – where the cardholder is not to exceed their cycle limit per month. Each cardholder has individual cycle limits which were set by DOAS Purchasing in the approved P-Card Plan on 03/23/17. The cycle limits are $5000 - $25000 with only a couple of exceptions. Contact your P-Card Administrator if you have questions about your cycle limit.
The statement closes the 27th of the month and the payment is due on the 21th of the next month.
3.2 Merchant Activity Type Limits
Specific types of businesses are identified by a Standard Industrial Classification(SIC) Code, commonly referred to as Merchant Category Code (MCC). Based onthe nature of some categories, specific MCC codes may be restricted for use onthe card. If you have difficulty using your card with any particular vendor, pleasecontact one of the P-Card Administrators.
3.3 Security of Card
Cardholders are responsible for safeguarding the P-Card, account number, and passwords at all times. To prevent unauthorized use and limit the potential for fraud, the cardholder should use basic security measures, as outlined below: