P-CARD PROGRAM ONLINE TRAINING PURCHASING CARD

Transcription

1 P-CARD PROGRAM ONLINE TRAINING PURCHASING CARD 1

2 ABOUT THIS ONLINE TRAINING This training will introduce you to: Purchasing Card (P-Card) guidelines and procedures Responsibilities of P-Cardholders Procurement P-Card Procedures Accounts Payable P-Card reconciliation A Quiz is provided to reinforce the information. After the successful completion of the Quiz, you will receive a certificate of completion. 2

3 ABOUT THIS ONLINE TRAINING NAVIGATING THE TRAINING Press the Escape Key (ESC) to EXIT THE TRAINING at any time. All forms related to P-Card Program may be obtained from the P-Card Program Guidelines at: Employees/School%20Business/Financial%20Operations/P- Card%20Program%20Policies%20and%20Procedures%20Website.pdf For more information on LISD P-Card, please consult the full P-Card Program Guidelines at the same electronic address. 3

4 P-CARD TRAINING OVERVIEW General Information & Definitions Obtaining a P-Card Allowable P-Card Purchases (Perishable and Consumable Items Only) Purchase Order Spending Limits and Increases Sales Tax Reconciliation Process P-Card Roles and Responsibilities Consequences of Misusing P-card Personal Use of the P-Card Returns Lost or Stolen P-Cards Closing the P-Card 4

5 GENERAL INFORMATION & DEFINITIONS What is the P-Card? It is a VISA purchasing card that is issued by BBVA Compass Bank. It is a fast, flexible purchasing method for processing delegated orders from vendors that accept credit cards to establish a more efficient, cost-effective method of procurement and payment of delegated purchasing transactions. How does the P-Card work? The P-Card works just like a regular VISA credit card. Before using the P-Card, a PO must be approved and the P-Card can be used up to the PO limit. Who is the P-Cardholder? The LISD employee who has been issued a P-Card. Who is the Supervisor? For P-Card purposes, the Campus Principal or Department Head with budgetary authority for the cardholder s unit. 5

6 GENERAL INFORMATION & DEFINITIONS Who is the P-Card Administrator? The Purchasing Department representative is responsible for the P-Card Program. What is the billing address of the cardholder? The cardholder billing address is the same for all cardholders. The Finance Department as well as the cardholder receive monthly electronic statements. LISD Finance Department 1702 Houston St. Laredo, TX What is the cycle cutoff date? The end of each month and payment is due every 14 th of each month. 6

7 OBTAINING A P-CARD Applicant will submit a P-Card Workflow request Supervisor approves P-Card Workflow request Finance will place P-Card order with Bank Bank issues P-Card (10 business days) Finance notifies Applicant P-Card is ready Applicant takes Mandatory Training Cardholders sign P-Card Agreement (providing proper identification) 7

8 ALLOWABLE P-CARD PURCHASES The cardholder is authorized to make allowable purchases on behalf of the District. Perishable and Consumable items The Purchases must be: It should be used for local merchants ONLY In accordance to lesson plans For District Purposes Only Sufficient funds in PO In full compliance with purchasing statutes, rules, policies, and procedures Purchases not related to LISD lesson plans or Catering / Special Events will become a personal liability to the cardholder. 8

9 PURCHASE ORDER (PO) Initiate Purchase Requisition for the approved amount. Obtain Purchase Order for BBVA Compass Bank P-Card (Vendor # ) Cardholder will keep track of purchases to not exceed PO amount. Cardholder must assure that enough funds are in place in purchase order before executing any purchase. Otherwise it would be considered a violation to the program. 9

10 SPENDING LIMITS AND INCREASES Each campus or department has their own credit limit established by their Principals or Directors. All P Cards have spending limits. The District will be operating under the Cycle Transaction Limit, defined by the total dollars spent in a 30 day billing period. Pre-set monthly limits will be established for each cardholder by the P-Card Administrator. A cardholder must not have purchases over the set limit per cycle or the purchase will be declined. The Supervisor may make a written request for spending limit increase to the P-Card Administrator. Warning: Spending should be limited to the amount of funds in your respective PO and budget; otherwise, it would result in a violation to the P Card Program. 10

11 SALES TAX The district is a tax exempt entity, therefore, no sales tax charge is allowed in purchases. Cardholder will need to take a copy of a Sales Tax Exception Form that needs to be signed by cardholder and present at the time of purchase. If taxes are charged, the cardholder will be responsible for reimbursing the district for the portion of the sales tax. If a transaction needs to be disputed, contact BBVA Compass. Cardholders have up to 60 days to file a form with bank to dispute a transaction. 11

12 RECONCILIATION PROCESS Fill out the P Card Reconciliation Form (incomplete forms will not be accepted) Supervisor needs to sign and date Reconciliation Form (Authorized Signers Only) Submit to Accounts Payable with original itemized receipts & lesson plan or Catering /Special Event Request Form CNP only (7 business days after transaction) Payment to BBVA Compass is due every 14 th of the month If the charges are not approved as required, this may result in an audit finding, re assignment of duties, and possible disciplinary action as stated in the P Card Program Guidelines. 12

13 RECONCILIATION PROCESS Proper maintenance of program documentation and timely reconciliation of purchasing cards are critical to ensure internal controls. Cardholder must reconcile the P-Card receipts with his/her monthly bank statement. We recommend that cardholders reconcile their P-card documents in their department. Cardholders should submit reconciliation package with original signatures only to indicate that a review of the reconciliation package was conducted. Ensure only authorized signers approve all documents submitted. 13

14 RECONCILIATION PROCESS Submit your documentation on time. No exceptions. Purchases made during the last days of each month must be reconciled immediately. Provide proper documentation. Two receipts are required for each transaction. An itemized receipt and credit card receipt as well as supporting documentation. All required signatures must be present. Lesson plans including a list of the required materials is required for instructional purchases. Purchases made by the child nutrition program must include a justification for each transaction. 14

15 RECONCILIATION PROCESS The cardholders reconciliation packages should consist of all original documentation, including lesson plans, vouchers, receipts, credits, transaction logs, records of disputed transactions and other supporting documentation. Upon the first occurrence of a purchasing cardholder not completing or incompletely submitting the purchase card reconciliation, the card will be placed inactive. The card will remain inactive until the complete reconciliation is submitted. Notification that the card has been inactivated will be sent to the cardholder and immediate supervisor of the cardholder. Procurement Department will track individual violations throughout the year. 15

16 P-CARD ROLES AND RESPONSIBILITES Supervisor Designate P-Cardholders Cardholder Keep the P-Card Safe Approve P- Card Workflow Request Initiate Requisitions Approve Purchase Requisition Reconcile P-Card Expenditures Approve Use of the P-Card Follow P-Card Guidelines Approve P-Card reconciliation Follow Procurement Guidelines 16

17 IF YOU FOLLOW THE RULES YOU WILL Expedite purchases Get needed supplies on time Minimize and/or eliminate teachers out-of-pocket expenses 17

18 3 STRIKES YOU RE OUT FEATURE Laredo ISD must safeguard its assets and protect its funds from misuse and fraud. It should be clear that misuse and abuse will not be tolerated. Any known or suspected misuse of Purchasing Card should be notified to the CFO and/or Internal Audit for further investigation. Three violations and/or misuses of the P-card program shall result in the suspension or revocation of the P Card and disciplinary action up to and including termination of employment and, where applicable, criminal prosecution. 18

19 3 STRIKES YOU RE OUT FEATURE Insufficient Funds in Purchase Order Splitting Charges to Circumvent Procurement System Noncompliance with State and District Purchasing Procedures TYPES OF VIOLATIONS, BUT NOT LIMITED TO Unallowable Purchases Personal Charges Late Submission of Reconciliation Unacceptable Documentation 19

20 FOLLOW THE RULES / AVOID STRIKES School/Dept. Cardholder Strike I Strike II Strike III Card Cancelled School A Mr. Martinez School B Mrs. Garcia X School C Mr. Gonzalez X X X 10/01/

21 PERSONAL USE OF THE P-CARD The use of the P-Card for personal expenditures is strictly prohibited. Cardholders who violate this rule must immediately report the personal use and reimburse the funds. This is required regardless of a cardholder s intent to reimburse the District. An example would be when a cardholder includes a personal purchase with a departmental/campus order to take advantage of free shipping or pricing discounts. 21

22 PERSONAL USE OF THE P-CARD All personal use (intentional and unintentional) of the P-Card should be handled by the cardholder as follows: Immediately report the purchase to the Supervisor and the P-Card Administrator. Immediately submit payment to the Cashier s Office for the amount of the purchase along with the supporting documentation. Attach a memo on letterhead explaining the circumstances of what happened (including a timeline of the incident) and attach a copy of the receipt and/or other supporting documentation. Once a receipt is given to cardholder by the Cashier s Office, submit all paperwork to P-Card Administrator. Note: These purchases will be reported to the CFO and Audit Dept. 22

23 RETURNS Request the following from the Vendor: Return Shipping Address Return Authorization Number A credit issued to your P-Card account A credit receipt Document that the goods have been returned for credit. HELPFUL HINT: Acceptable documentation includes correspondence, faxes, etc. Inform the Supervisor. Check your statement to ensure that credit has been issued for the returned item(s). If not, then process the charge as a disputed item. 23

24 LOST OR STOLEN P-CARDS It is the responsibility of the cardholder to safeguard the P-Card. Cardholders must place the card in a secured place while not in use and be careful not to present P-Card instead of personal card on personal purchases. P-Card Lost or Stolen During Working Hours? Contact P-Card Administrator Ext P-Card Lost or Stolen After Working Hours? Call BBVA Compass and report card incident Notify P-Card Administrator Ext on the next working day P-Cardholder may request a new card via workflow. 24

25 CLOSING THE P-CARD P-Cardholder shall close P-card via workflow. Your P-Card must be destroyed and the account cancelled upon: Supervisor s Decision Change of Cardholder Retirement Termination of Employment NOTE: Every cardholder must sign the LISD Purchasing Card Agreement, in which the cardholder agrees to return the card to the District as soon as employment is terminated. 25

26 CLOSING THE P-CARD P-Cardholder shall close P-card via workflow. Cardholders who resigned or was terminated from LISD must submit any pending reconciliation when the P-Card is returned to the Financial Management Department. Failure to submit these documents will delay the application of the new cardholder for that campus/department. If the Cardholder is terminated or unable to return the P-Card in person, a designee of the Campus/Department shall assume the responsibility for submitting the reconciliation report to the Accounts Payable Department. Notify the P-Card Administrator if the Cardholder leaves the department or is no longer an employee of the LISD. The P-card Administrator will coordinate cancellation of the card with the bank. 26

27 P-CARD ISSUES? P-Card Administrator ext If problems are encountered at the time of activation If P-Card is getting ready to expire. If the P-Card is rejected at the time of the purchase 27

28 CONGRATULATIONS!! YOU HAVE SUCCESSFULLY COMPLETED THE PURCHASING CARD ONLINE TRAINING REQUIRED TO CONTINUE USING YOUR P-CARD. Please register on Eduphoria to take the quiz for certification purposes. For additional information regarding the P-Card program, please consult the P-Card manual available online on the District s website at. 28