Purchasing Card Training

Transcription

1 Purchasing Card Training

2 History of Program: The Program in the Fall of Cardholders and just over $25,000 spent Current Fiscal Year Over 650 Cardholders and over 12 million spent

3 What is a Purchasing Card? A credit card program that is fiscally driven and facilitated by the ProCard Administration Team. The Purchasing Card, a.k.a. ProCard, is a tool designed to provide an efficient way to purchase business related goods. JP Morgan Chase Visa It is.. A flexible purchasing tool. An alternative purchasing process. Vendors who accept Visa will accept this card depending on your parameters. For official use only. An authority granted to individual MCCCD employees. Authorized for use with only certain categories of vendors.

4 What are the advantages? The program saves time and money. It significantly reduces the number of invoices, associated checks and check requests. It reduces the number of people who have to touch the transaction. It grants immediate purchasing power. It enables convenient purchase of goods directly from vendors that accept Visa. It reduces the need for requisitions/purchase orders. It eliminates the use of personal funds for purchases.

5 A Purchasing Card is not: A means to avoid appropriate purchasing or payment procedures. A card to obtain cash, credit or gift cards. A right to employment. For personal use.

6 Requirements for Participation: There are three levels of participation Cardholder Reviewer Fiscal Authority Participants must be: A full-time, board approved MCCCD employee. Obtain departmental and fiscal approval. Agree to abide by the purchasing card policies as defined in the MCCCD Purchasing Card Policy & Procedures. Cardholders must submit an application and a signed agreement form. Reviewers must submit a signed agreement form. All three levels of participants must attend training.

7 Card Specifications: Limits are determined by your Department and Fiscal Authority. Single purchase limit (SPL) Monthly purchase limit (MPL) These requests are determined by your department needs and budget. Each card has one default Chartfield string. Your default Chartfield string should be set to the Chartfield you principally use. Charges can be re-allocated when you reconcile the transaction. The credit card address must be the college address. Shipments must be delivered to the cardholder at the college address. Indicate on the deliver to/ship to address: Your Name/ProCard Order Cardholders are responsible for inspecting all goods upon receipt.

8 Card Security: Treat the card as if it were your personal card. Do not lend the card to anyone. Do not share your account number with anyone. Guard your account number. Make sure your entire account number is NOT on any documentation. Never allow anyone else to sign for you. A secure site must be used when placing orders over the Internet, identified by a closed padlock.

9 Using the Card: In Person The cardholder should receive an itemized charge slip, receipt or paid invoice. By telephone, fax or Internet Ask the supplier or merchant to include an itemized receipt or paid invoice with your order. Receipt/Invoice must include: vendor name date of transaction itemized listing/details of purchase total amount charged

10 Travel on the Card: All applicable Maricopa guidelines pertaining to travel must be followed before using the card. A copy of the approved Travel Authorization must be uploaded with each transaction. No per diem charges are permitted. The following categories are allowed on the card: Event Registration Airfare (no preferred seating or priority check-in) Lodging (room rate & tax only) * * Car Rental * Shuttle/Transportation Services (no gratuity/tips) * By cardholder only. ** A credit card authorization form will be completed by cardholder.

11 Restricted Items: Alcoholic Beverages Ammunition/Weapons Contractual Professional Services Catering Services Insurance Leases/Rentals Legal Services Cash Advances/Loans Gasoline/Fuel Radioactive materials Flowers/Gifts/ Gift Certificates/Gift Cards Cash/Credit for returns Not inclusive of departmental or college restrictions.

12 Special Restricted Items: Capital Purchases [as defined by MCCCD Capital Asset Accounting. A capital purchase is defined as any individual piece of equipment priced over $1,000.] Software with licensing signatory requirements Departmental or college restricted items MCCCD internal transactions Must be accomplished with a budget or expense transfer. Official Function Purchases (*Fiscal may allow purchase) Personal Purchases

13 Returns, Exchanges & Disputes: Arrangements for return, credit, or exchange are made by the cardholder directly with the supplier. All erroneous charges must be credited back to the card. If the cardholder is unable to resolve the dispute with the vendor: Contact JP Morgan Chase and Procard Administration Team to begin processing the dispute Chase must be notified within 60 days of the original transaction post date. All documentation showing proper resolution of the return or exchange must be retained and attached to the appropriate transaction.

14 What if the Card is Declined? The most common reasons for a decline: Card Limits Single and Monthly Taxes are included in your limit totals MCC Codes Classification of Vendors Category: Standard, Travel, Food, Automotive and Copy Management Ask the vendor to inquire as to why the charge was declined. Contact the ProCard Team at: Gloria Toscano (480) Kelvin Ong (480)

15 Lost or stolen cards: Call JP Morgan Chase Cardmember Customer Service: (800) then advise the Procard Team and your fiscal authority of the situation.

16 Fraudulent Charges: Identifying and resolving fraudulent charges: View charges in FMS on a regular basis. If fraud is detected, contact JP Morgan Chase immediately to report the fraud. Cardmember Customer Service: Follow up with Procard Team and y0ur Fiscal Authority. An investigation will be conducted and upon conclusion the fraudulent amount will be credited back to the cardholder. Cardholder must ensure the credit is issued. All fraudulent transactions must be reconciled in FMS. A new card will be issued to the cardholder.

17 Cardholder Status Change: There are three possible scenarios for a status change: Frozen/Suspend The cardholder can take a temporary leave of absence. Transfer The cardholder can move to another college, but still have need for the card. A new card will be issued. Cancel The department may no longer have a need for the card. The cardholder no longer works for Maricopa. All records along with the purchasing card must be turned in to your college fiscal authority upon termination of employment.

18 General Program Information: Any misuse of the card, determined to be intentional, or any failure to comply with the procedures within the ProCard Program may result in the following consequences. Re-training including fiscal representation. Suspension of card. Revocation of card. Disciplinary measures up to and including dismissal, if deemed appropriate.

19 Audits and Record Retention: Audits: Audits will be conducted by the ProCard Administration Team, your college Fiscal Office, and if applicable, the district office Grants Department. This program is also subject to audits by Maricopa s Internal Audit Team and the State Auditor General s Office. Record Retention: FMS is our official system of record.

20 Reconciliation

21 ProCard Transaction Reconciliation in FMS Cycles (dates vary depending on weekends/holidays, schedule on website) Begin on the 16 th of the month End on the 15 th of the month Transactions files are sent by the bank and loaded into FMS Tuesday Saturday. You can access FMS anytime and reconcile your transactions. Check transactions and reconcile throughout the cycle, as time is limited after cycle ends. Processing times are dependent on the vendor, however, most transactions will post within a few days after processing.

22 All levels of participants must fulfill reconciliation responsibilities by deadline provided. Cardholder: you will receive an notification once your transaction has been uploaded in FMS. Reconciliation should happen promptly. Reviewer: you will not receive any notifications. The cardholder will need to notify you once they have reconciled. You can log in at any time to review the transactions.

23 1. Providing a complete description with business purpose in the comments field. CORRECT Storage boxes, labels, and label maker for Division of Business Services. Steel Book Cart 20 Gauge with 6 sloped shelves for use in District Office Facilities Department Soda and Chips (50 students) for breakout session at New Student Welcome Orientation on January 18, 2017 in Student Life Center. Official function form and approval attached. Lodging for John Smith attending Learning Conference in Houston, TX from January 6-9, 2017 TA# INCORRECT Supplies P/N v Food for Friday s event Hotel International Facility Management Association membership renewal (January December 2017) for District Office Facilities Director, Darren Stroughter. Membership form attached. IFMA membership renewal

24 2. Attaching receipts/invoices/documentation for each transaction Upload only one PDF document per transaction, thus merging documents together if need be. First page of attachment must always be the receipt showing the following: Vendor Name Date of Purchase Itemized Listing of Purchase Amount matching transaction amount Additional pages of attachment should include all supporting documentation pertaining to the purchase (e.g. Approved Travel Authorization Details) Do not upload documents that do not pertain to the transaction at hand.

25 3. Reallocating of Chartfield String, if necessary Always review each chartfield string for each transaction. Reallocation of the Chartfield must be done during reconciliation. All efforts must be made to ensure the correct Chartfield string for each transaction is used. Corrections are manually processed by accounts payable, so we must limit corrections.

26 4. Providing tax reporting information. MCCCD pays all state and local sales taxes. In-state suppliers/merchants should include sales tax. Use Tax is a tax MCCCD pays the State of Arizona when we do business with an out-of-state supplier/merchant that does not have a license to collect Arizona state sales tax. If the out-of-state supplier/merchant has a license, the appropriate sales tax will be charged. There are three possible Tax transaction scenarios requiring different actions. Scenario A: Tax was paid. Scenario B: Tax was not paid and the transaction includes goods. Scenario C: Tax was not paid and the transaction does not include goods.

27 5. Approving each transaction (change of status). There are three statuses in FMS for transactions. INITIAL: All transactions will be uploaded in FMS with a status of Initial. VERIFIED: Once the cardholder reconciles the transaction, they will change the status from Initial to Verified. APPROVED: When the reviewer reviews the transaction and reconciles, they will change the status from Verified to Approved.

28 Questions Contact the ProCard Team at: Gloria Toscano (480) Kelvin Ong (480) Or us at