Procard/Travel Card Administration

Procard Compliance Monitoring and Reporting

• Weekly:

◊ Procard Declined Authorizations Report

  • This date prompted report is a listing of information related to declined authorizations that includes the cardholder name, card number, merchant name, MCC, the date and time of the decline, the transaction amount, and the reason for the declined authorization.
  • The information in the report is analyzed to determine if the cardholder is adhering to UTSA policy and guidelines and to determine what additional training or clarification may be needed by cardholders.
  • The decline reasons are reviewed and the cardholder and Department Managerare contacted with the details of the transactions that arenon-compliant with Financial Management Operational Guideline (FMOG) - Procard Program, such as closed cards, attempts to use ATMs and exceeding the single transaction limit.

◊ Split Ticket II Report

  • This date prompted report is a listing of transactions by a cardholder for multiple transactions to the same merchant on the same day whose total exceeds the single transaction limit for the cardholder.
  • The information in this report is used to identify cardholders who attempt to circumvent the single purchase limit.
  • The report is reviewed and the cardholder is asked to provide invoices for the transactions.

• Monthly:

◊Procard Inventory Report

  • This is a date prompted report for transaction amounts over $500for MCCs that are or can be associated with merchants that sell electronics.
  • This report is used to identify cardholders who have made a purchase over the $500 single purchase limit for computer, telecommunication, or electronic equipment.
  • The cardholderis asked to provide invoices for the transactions.

◊Procard Transactions for the Prior Cycle

  • This report lists total purchases, credits, and miscellaneous debits by cardholder and the payments posted to the master account.
  • This report is used to reconcile the monthly Procard master statement and identify direct payments and associated fees by cardholders in an attempt to hide personal purchases.
  • The list is reviewed for payments made by someone other than UTSA and any related fees that appear as miscellaneous debits.

◊ Procard Disputed Transactions

  • This report lists all disputed charges by cardholder, date, and the disposition of the dispute.
  • This report is used to monitor cardholders with disputed charges.
  • The list is reviewed to identify disputes settled in favor of the merchant. The cardholder is asked to providea copy of the dispute form submitted to Citibank.

◊Top 10 Merchant Report

  • This report provides information about the total activity by merchant for the month.
  • This report is used as an additional resource for detecting controlled items over the $500 single purchase limit and circumvention of the $5,000 single purchase limit with transactions spanning several days.
  • The detail for each merchant is reviewed and cardholders are asked to provide copies of invoices for suspected transactions if addendum information is not available in the report.

◊ Top 10 Cardholder Report

  • This report provides information about the total activity by cardholder for the month.
  • This report is used as an additional resource for detecting controlled items over the $500 single purchase limit and circumvention of the $5,000 single purchase limit with transactions spanning several days. The Procard/Travel Card Administration (PTCA) office also confirmsthat these cardholders have been audited within the required time frame.
  • The detail for each transaction is reviewed and the cardholder is asked to provide copies of invoices for suspected transactions if addendum information is not available in the report.

◊UTShare/PeopleSoft Procard Late Approvals

  • This is a report of all cardholders whoseProcard Vouchers were not approved by the published deadline.
  • This report tracks the cardholders that are not in compliance with FMOG - ProcardProgram and the Texas Prompt Payment Act. A summary report is provided to the Assistant Controller for each billing cycle.

◊ Monthly Procard Statement

  • The statement is mailed to UTSA but is also available online in PDF, and the transactions can be downloaded to an Excel spreadsheet.
  • The statement is reconciled for each cardholder, and the transactions for the monthly Procard statement are from the Procard Transactions for the Prior Cycle report. A transaction listing of all individual cardholderpayments is compared with the payments posted by Citibank and these payments are matched to the cardholders in the Excel spreadsheet.
  • The reconciliation, a recap of the activity, and the statement are provided to the Assistant Controller for review.

• Quarterly:

◊ Summary report from the Assistant Controller to Assistant Vice President Financial Affairs/Controller (AVPFA/Controller)with analysis and summary of exceptions and corrective actions taken for all non-compliant cardholders, reviewers, and Department Managers.

◊ Risk assessment by PTCA based on activity for the quarter. The risk factor weights are the same as those applied in a Procard audit.

◊ Procard electronic newsletter that focuses on strengthening compliance, provides content on suppliers, and showcases successes resulting from partnering with cardholders to meet their unique needs.

• Annually:

◊ Total Transactions by MCC Report

  • This report lists the total transactions and dollars spent by UTSA by MCC
  • This report is used to review the assignment of MCC codes for appropriateness and updating as necessary.
  • By comparing the total transactions by MCC with the approved MCCG templates PTCA can determine if the transactions that are not part of the MCCG template were properly authorized and documented with the Card Maintenance Request form. For transactions not properly authorized and documented, PTCA contacts Citibank to determine if the merchant forced the authorization.

◊ Review departmental activity for appropriateness of spending limits, etc., and follow up with departments

◊ Review FMOG - Procard Program and related forms for possible updates.

◊ Report from Assistant Controller to AVPFA/Controller with summary of yearly activity, metrics such as the number of incidents of various types of non-compliance compared to the previous period, corrective actions taken, and other indications of effectiveness or need for adjustments to the program, as well as a summary and conclusion. Subject to the approval of the AVPFA/Controller, implementation of adjustments or additions to the program based on the analysis.

• Continuous:

◊ Audit all new cardholders within 24 months of card issuance.

◊ PTCA estimates that at least 150 low risk cards will be selected for review annually based on these types of transactions:

  • Transactions where the merchant name is usually associated with items of a personal nature such as Nordstrom, Bed Bath & Beyond, and Kids R Us.
  • Transaction dates on weekends and holidays, and times outside normal business hours.
  • Transactions just under the transaction limit or sequence of same-item purchases adding up to or exceeding the limit.
  • All cardholders with Special Event privileges that have catering, restaurant, and grocery store transactions.

◊PTCA estimates that at least 120 audits of selected medium and high-risk cards will be completed annually utilizing the Procard Audit Checklist on the PTCA website. Once assigned a medium or high risk rating these cardholders are automatically flagged for an audit within 24 months of the previous audit. Follow-up activities for exceptions include but are not limited to monitoring of transactions, requests for documentation, and refresher training.

◊ Cardholder training is required for all new cardholders prior to issuance of the card, and the reviewer is strongly encouraged to attend. Refresher training is required within 36 months of card issuance. Training is tracked with a database.