UNCA Asheville Travel Purchasing Card (T-Card) Manual. Revised , V2

Transcription

1 UNCA Asheville Travel Purchasing Card (T-Card) Manual Revised , V2

2 Table of Contents Introduction Page Welcome to the UNC Asheville Procurement Card Program 3 Benefits to the Cardholder 3 Benefits to UNC Asheville 3 Corporate Liability 3 General Information Definitions 4 Card Usage 4 Process for Requesting a Change in Spending Level 5 Card Security 6 Roles and Responsibilities 7 Contact List 8 General Card Processes How to Obtain a Card 9 Card Changes Employee Name, Fund Number, and Approver 9 Card Renewal 9 Cardholder Employment Changes 9 Card Inactivity 10 Lost or Stolen Card 10 General Purchasing Guidelines Allowable and Non-Allowable Expenses 11 Special Circumstance Expenses 12 Travel Changes 12 Split Transactions 12 Sales Tax Exemption 13 How to Make a Card Purchase Card Purchase Steps 14 Billing Address 15 Transaction Declined 16 Documentation and Reconciliation (Cardholder / Reconciler Responsibilities) Documentation Overview 17 Transaction Review and Statement Reconciliation 17 Disputed or Fraudulent Charges 17 Compliance Assurance General Infractions 19 Criminal Activity 20 2

3 Introduction Welcome to the UNC Asheville Travel Card (T-Card) Program Welcome to the UNC Asheville Procurement Card Program The purpose of the UNC Asheville Travel Card (T-Card) Program is to simplify payment processes for UNCA Asheville business travel. The program is designed to maintain accountability while reducing the cycle time and administrative and traveler burden of procurement procedures such as purchase requisitions/orders, direct pay requests, and expense reimbursements. The card issued by Bank of America is widely accepted by vendors that support Visa card purchases. The program provides the following benefits to cardholders and the University: Benefits to the Cardholder Eliminates the need to use personal funds and obtain reimbursements other than per diem meals and personal vehicle mileage. Empowers cardholders with choices and immediate access. Integration with Chrome River provides an ease to the user with reconciliations. Benefits to UNC Asheville Significant cost savings in the purchase-to-pay cycle Increased expense analysis power Increased ability to provide value-added services Employee satisfaction Corporate Liability UNC Asheville s T-card is a VISA credit card with corporate liability. Corporate liability is defined as follows: The university is liable for all charges made by university employees The university is not held liable for charges made by a terminated employee once notice of termination is provided to Bank of America The university is not liable for charges made with the T-card resulting from card theft or other fraudulent use by third parties not employed by the university 3

4 Definitions General Information The T-Card is a corporate VISA credit card, issued to UNC Asheville through Bank of America. The card is to be used for UNC Asheville business travel transactions only. Personal use of the Visa card by an employee is strictly prohibited. A permanent, non-student employee with department head / dean approval may acquire a T-Card by completing the application and agreement and attending T-Card training. The T-Card is issued in the employee s name through Bank of America and the UNC Asheville T-Card Administrator. Personal Credit History: Although the T-Card is issued in the employee s name, the employee s personal credit history is not considered during the application process, and use of the T-Card will not affect the employee s personal credit history in the future. Payment of Charges: Monthly T-Card charges are paid to Bank of America by the university. University funds and expense accounts assigned by the cardholder during the reconciliation process are charged to the department s funds when the payment to the bank is generated. The T-Card program provides the university with full dispute rights and corporate liability coverage for all purchases. 1. Travel Purchasing Card commonly referred to as a T-Card. A university credit card that can be used for travel during university business. 2. Bank of America bank issuing T-Cards 3. Chrome River Travel online transaction management system for the T-Card program 4. Cardholder person who is approved to obtain a T-Card, has attended the T-Card training class, and is authorized to use the card to conduct UNC Asheville business. Submits all receipts and other documentation to reconciler by required deadlines. (see Roles and Responsibilities Section) 5. Approver Fund Manager, Department Head, Dean, or Vice Chancellor who reviews and approves all transactions in Chrome River Travel. (see Roles and Responsibilities Section) 6. T-Card Administrator individuals working in Administration and Finance charged with the management of the T-Card program. 4

5 Card Usage The T-Card should only be used when in travel status on behalf of UNC Asheville with vendors that accept VISA credit cards and transactions that follow UNC Asheville Purchasing Policy. (Ref: Unlike the P-card the employee s T-card cannot be used to facilitate in-store purchases. Personal use of the card is not allowed and will be considered as terms for card revocation as well as employee disciplinary action. The T-Card can be used for travel expenses only. Please see allowable and non-allowable expenses listed on pages It is not for small business related purchases. Small business related purchases are to be processed through the Accounts Payable/Purchasing Department. Charges to the card are limited by single, daily, and monthly transaction dollar amounts as defined below. In addition, some vendors are blocked based on their Merchant Category Code (MCC discussed further below). Transaction dollar limits and allowable merchant categories are established for each card account. Transaction Dollar Limits: The University has established the following transaction limits. Single Transaction $2,500 Daily Transaction $5,000 Monthly Transaction $10,000 A single transaction cannot exceed $2,500 per North Carolina 01 NCAC 05B This limit may be changed only under the following circumstances: (1) In an emergency (as defined by 01 NCAC 05B.1602 or Governor's declaration), the agency T-card program administrator may request higher limits on cards in critical areas. Such increases shall be in effect no longer than the duration of the emergency. Requests for increased limits are to be made through the Division of Purchase and Contract if time permits and must be reported to Purchase and Contract in any case. (2) Agencies may apply to the State Purchasing Officer (SPO) at the NC Division of Purchase and Contract for higher limits on specific types of transactions, with justification required. 5

6 Card Security Because prior approval must be obtained from the SPO, if the employee s anticipated transaction will exceed the $2,500 benchmark, the employee must contact the T-Card Administrator by or phone to obtain approval. A detailed rationale/justification for the charge is required and must be received by the travel office at least 30 days in advance of the anticipated travel. This must include the vendor name, location, phone number and purpose of charge. The Cardholder should be aware that splitting transactions in order to remain within the transaction limits (single, daily, or monthly) is prohibited. Merchant Category Codes (MCCs) are four-digit numbers assigned by Visa and MasterCard to merchants that identify the product or line of business of each merchant. Similar businesses may be grouped into like categories, although airlines, hotels, and rental car companies are given their own MCC. Merchant Category Blocking: Merchant category blocking utilizes MCCs to limit purchases from specific vendors. If a particular merchant category is blocked (e.g. jewelry stores) and a purchase is attempted, the purchase will be declined. Management has made an effort to ensure that vendors used during the normal course of business are not restricted. As a Cardholder you assume personal responsibility for the protection and proper use of the employee s T-card. Follow the points below to assure card security. While in the employee s possession, always keep the card in a secure place, just as one would a personal credit card. Treat the card like cash. A T-Card can only be used by the person to whom the card has been issued. Never lend the your T-card to another person or use another employee s T-Card. Convey your T-card number to the vendor only through a secure web site, telephone, or in person. Never include your T-card number in an or fax. Maintain receipts and invoices in a safe place until they are submitted through Chrome River or to the Reconciler or Fund Manager / Dean as documentation. The receipts and invoices should be submitted as soon as the purchase is made by ing them to travel@unca.edu or to the associated Administrative Support that processes the receipts within the department. 6

7 If your T-Card is lost or stolen, promptly follow the instructions under Lost or Stolen Card. Ensure a T-Card Change Form has been prepared and submitted to the T-Card Administrator if you transfer to another department, terminate employment, change your name, or if you no longer need a T-Card. Roles and Responsibilities University employees and management play key roles to support the T-Card program. A summary of roles and responsibilities follow. Cardholder Permanent, full-time employees Ensures compliant use of the T-Card according to UNC Asheville Travel Purchasing Card (T-Card) Manual, Travel Procedures Policy, and General Administration and NC State Purchasing and Contract policies and procedures. Maintains the card in a secure location while not in use. Never allows anyone else use of the T-Card assigned to you. Ensures spending limits and allotted operating budget are not exceeded on any transaction. Ensures transactions are not split to circumvent spending limits or university guidelines. Ensures NC Sales and Use Tax is not charged on purchases. The UNC Asheville Tax Exemption number is located on the employee s card. Obtains a valid itemized receipt/invoice for each purchase which includes the vendor name, date of purchase, item description and total amount of purchase. A payment receipt showing only the total amount paid is not acceptable. Submits original receipts/invoices through Chrome River Travel by ing them to travel@unca.edu and provides clarity to the item description or business purpose. Contacts Bank of America and the T-Card Administrator immediately if the employee s card is lost or stolen. Returns card immediately to the T-Card Administrator before leaving the university s employ or if moving to a different department. Approver (Fund Manager / Department Head / Dean / Vice Chancellor) Confirms through review and approval that the T-Card is used in compliance with the T-Card Manual and the Travel Procedures Manual guidelines. 7

8 Contact List Reviews and approves transactions in Chrome River Travel. Provides fiscal oversight and management of business operations within his or her department. Selects department employees for participation in the UNC Asheville T-Card Program based upon business need and minimum travel of 4 times per year. Accounts for the use of the T-Card in his or her department, taking appropriate action with departmental staff when required. T-Card Administrator (Finance Office) Provides program management and oversight. Develops and delivers effective training for users. Ensures program compliance and quality assurance. Promotes an accurate T-Card program by working with departments to minimize violations and infractions of card usage. Prepares Chrome River and Banner processes for posting charges and completes payment to Bank before due date. The Controller s Office in the Administration and Finance division of the university is responsible for the day-to-day operations of the T-Card program. The T-Card Administrator is available during normal business hours to assist campus employees with any questions regarding T-Card policies and procedures Catherine Mallon T-Card Administrator Phone: cmallon@unca.edu Lydia Gossett Accounting Manager Phone: lgossett@unca.edu To contact the Bank of America, call the number on the back of the employee s card. Any time the Bank of America is contacted, you should also contact the T-Card Administrator. 8

9 General Card Processes How to Obtain a Card Department heads, deans, and senior staff will identify faculty and staff with a business need for T-Cards. Upon his or her approval, a Travel Purchasing Card (T-Card) Application and Agreement can be obtained from the T-Card Administrator. Complete and forward the T-Card Application and Agreement with the appropriate signature approvals to the T-Card Administrator. The Cardholder must attend a T-Card training session before the card is provided. T-Card applicants should have frequent travel of not less than 4 overnight trips per year and should have demonstrated that they are responsible and will follow proper procedures. In exchange for a faster way of making purchases, cardholders must be willing and able to keep good records for accounting / reporting purposes. Card Changes - Employee Name, Fund Number, and Approver Change The T-Card Administrator maintains cardholder applications and agreements and change documents. To report a legal name change, change fund numbers assigned to the card, or change the reconciler or approver, complete a T-Card Change Form (located on the Finance Department website.) The T-Card Administrator will notify the Cardholder of the effective date of the change. Card Renewal T-Cards are issued with a three (3) year expiration date and are subsequently renewed every two (2) years. Renewal cards will be mailed from the bank to the university and distributed by the T-Card Administrator to the Cardholder. You should receive the your new card approximately thirty (30) days before the expiration date. Cardholder Employment Changes If you leave the university, transfer to a new department, or no longer require use of a T- card in the performance of daily job duties, your T-Card must be cancelled immediately. 9

10 Complete and submit the T-Card Change Form, along with the your T-card, to the T-Card Administrator. If you transfer to a different department and your new position requires the use of a T- Card, submit a T-Card Application and Agreement listing your new department information. You will need to return the existing T-Card to the T-Card Administrator immediately when transferring to a new department. A new card will be issued to you after a new T-Card Application and Agreement is completed. Because you were issued a card in the past, attending the training class will not be required. Regardless of the type of employment change, the card remains the property of UNC Asheville and must be surrendered immediately upon request for any reason by an authorized person (such as the department head or the T-Card Administrator). Card Inactivity In the event a card is inactive for six months, the card will be reviewed for possible cancellation by the T-Card Administrator. Lost or Stolen Card If you believe your card has been lost or stolen, immediately report the problem to Bank of America at Customer assistance is available 24 hours a day. Immediately after reporting to Bank of America, notify the T-Card Administrator of the event. It is extremely important to act promptly in the event of a lost or stolen card to avoid company liability for fraudulent transactions. If it is a normal work day, and between the hours of 8 am and 5 pm, please contact the T- Card Administrator or the Purchasing Department and we will be able to assist you with getting the account closed and a new card issued. You will no longer be able to use the account number after notifying the bank. Bank of America will automatically reissue a new card. The T-Card Administrator will notify you as soon as the new card is received. A card that is subsequently found after being reported lost should be sent to the T-Card Administrator. 10

11 General Purchasing Guidelines The T-Card represents UNC Asheville s trust in you as a responsible employee who will safeguard and protect university assets. As a cardholder, you assume the responsibility for proper use of your T-card. Card purchasing does not change or alter current purchasing policies and departmental approval processes. All UNC Asheville, General Administration, and the State of North Carolina guidelines remain intact. (Reference: Allowable and Non-Allowable Card Purchases The UNC Asheville T-Card is intended for travel business expenses only needed during the course of business travel. Allowable Expenses on the UNC Asheville T-Card Webinars / Teleconferences Registration Fees for Conferences / Seminars and Training Material Hotel charges Only Room charges and parking. No valet parking. No meals. Taxi/Shuttles/Ubers Tolls Parking Garages/Airports Airline tickets No travel insurance Baggage Fees Rental vehicles not on state contract. No additional insurance coverage. Gas for rental vehicles only Conference Booth and Space Rental Laundry Services (only as it relates to Athletics) Non-Allowable Expenses on the UNC Asheville T-Card Meal per diem Internet fee through Air Travel Valet parking Room service Travel insurance Alcohol or Tobacco Products (See Special Circumstances below for exceptions related to Foundation Fund and very limited exceptions for other Funds). Additional insurance on car rentals. Personal expenses of any kind Cell phones or plan expense Payments to individuals, consultants, or employees Contributions 11

12 Special Circumstances on the UNC Asheville T-Card EXCEPTIONS FOR UNCA FOUNDATION FUNDS AND FOR NON-STATE FUNDS ONLY Alcohol and Business Meals o o o o When entertaining guests for specific business purposes, the T-Card may be used for restaurant charges. Food purchases cannot be made using state funds. Three items of documentation will be required: An itemized receipt showing all purchases made. You typically have to request an itemized receipt from the restaurant. Receipt showing payment with any tip included. (Tips should not be over 20% of ticket.) A list of all attendees as well as the business purpose of the meeting should be included. NOTE: T-Cards are not allowed for employee s meals while in travel status. When traveling, per diem rates apply and are processed as travel reimbursements to the employee. International Purchases o Itemized receipts for international purchases are required. If they are in a foreign currency/language, please be sure to use the conversion type in Chrome River and provide translation for what was purchased. NOTE: Contact the Controller s Office for Preapproval in regards to any exceptions related to T- Card Purchases. Travel Charges A Pre-Approval is required for all travel related expenses and must have been processed in Chrome River prior to using T-Card for travel charges. Split Transactions A split transaction occurs when you split a purchase to stay within the dollar limits of the employee s card (per transaction, day, or month) or to avoid a bid process. Splitting transactions is strictly prohibited. Care should be taken by the Cardholder to avoid the appearance of such. Examples of split transactions are noted below. If you are uncertain if a transaction would be considered split, contact the T-Card Administrator or the Purchasing Department. o A cardholder purchases similar or complementing items that cost a total of $2750. The sale is divided into separate transactions of $1500 and $1250. This is considered a split transaction to avoid exceeding the transaction limit of $2500 and is not allowed. 12

13 Sales Tax Exemption The university is a tax-exempt entity and is not required to pay North Carolina sales and use tax on goods or services. When dealing with vendors, the cardholder should make them aware of the exemption by providing the tax exempt number printed on the T-Card. If the vendor requests a copy of the university s NC Sales Tax Exemption Form, please contact the T-Card Administrator or the Purchasing Office and provide the vendor s address or fax number and the name of the contact person. Verify that the invoice does not include a charge for NC Sales and Use Tax before you leave the vendor or complete a transaction online. If it does, provide the vendor with the tax exempt number again and ask for a credit to be issued. 13

14 How to Make a Card Purchase This section addresses the application of the general procurement guidelines to T-Card transactions. Card Purchase Steps To make a T-card purchase, follow the steps below. If in doubt about any part of the process, contact your T-Card Administrator for clarification. Purchases by Fax 1. Confirm that your Pre-Approval has been completely approved through Chrome River prior to any purchase. 2. Determine if the price quoted is the best price you can obtain. 3. Tell the vendor you are making the purchase on behalf of UNC Asheville and that we are exempt from NC Sales and Use Tax. Provide the NC Sales and Use Tax exemption number located on the employee s T-Card and ensure tax is not included on the invoice. 4. Provide payment with your T-Card. 5. Obtain an itemized receipt / invoice (must list item description, quantity, price, State Contract information, and total purchase) from the vendor. Chrome River requires receipts for all purchases (it is a violation and will not let you submit for approval without a receipt). Retain a copy of the fax, as well as the fax confirmation for the employee s records. To avoid duplicating the order, it is recommended that you do not mail a copy of the faxed order to the vendor. If the vendor requires the original, be sure to clearly mark it Confirmation of Fax Order, Do Not Duplicate. It is a best practice for security purposes to call the vendor with the employee s T-Card number instead of including it on the employee s fax. Fax numbers can change and fax machines are often located in open areas within offices. Purchases by Internet On-line purchases must be made with vendors who use a Secure Sockets Layer (SSL) browser session. To confirm that a secure area has been accessed, look for https (denoting a secure site) in the web address. A closed lock usually appears to the right of 14

15 the web address or at the bottom right-hand side of the screen when you are asked to enter the employee s card number. If a secure browser site is not readily apparent to you, do not utilize the internet to make the purchase as the security of the employee s card could be jeopardized. Website Receipts Websites that present an on-line receipt, which reflects the items purchased and cost with a company logo or name, will serve as proper documentation. Simply that receipt to travel@unca.edu which will automatically house the receipt in your Chrome River Account for use in reconciling the employee s purchase. Websites that reflect the billing amount only can serve as proper documentation by including a printed or saved confirmation or order acknowledgement. Websites that do not present an on-line receipt can still be utilized. The customer should print screens that reflect the items being purchased and the amount, and then ensure the confirmation or order acknowledgement is attached. Purchases by A purchase by is not an approved purchasing method at UNC Asheville. For security purposes, T-Card numbers should never be sent via to a vendor or anyone else. Electronic correspondence regarding the purchase can be sent to your UNCA , just ensure no T-Card numbers are present in the . Billing Address If a vendor asks for a billing address or phone number for verification, please use the following: Transaction Declined UNC Asheville Travel One University Heights, CPO #1422 Asheville, NC Phone: (for the Finance Department) Contact the T-Card Administrator. Some reasons for transactions being declined could include the following: Exceeded spending limits Expired card 15

16 Merchant Category Code (MCC)* Please contact the T-Card Administrator if the transaction is declined as a result of a MCC. *All vendors accepting VISA cards are registered with the Bank of America under a selfproclaimed Merchant Category Code identifying their type of business, i.e. airlines, music stores, medical services, florist, ABC stores, restaurants, office supplies, etc. The University has blocked all categories deemed inappropriate for UNC Asheville use, such as entertainment, ABC stores, etc. 16

17 Documentation and Reconciliation (Cardholder / Reconciler Responsibilities) Documentation Overview Itemized receipts are required. Receipts should include description, unit price, extended price, along with the name and address of the vendor. NOTE: T-Cards are not allowed for employee s meals while in travel status. When traveling, per diem rates apply and are processed as travel reimbursements to the employee. Transaction Review and Statement Reconciliation Transactions can be reviewed as soon as they are posted in Chrome River. Specific instructions to view, reconcile, enter comments about transactions, edit general ledger fund, approve, and uploading receipts can be found in the Chrome River Expense Report Quick Link Guide on the main screen of the employee s Chrome River Account. Disputed or Fraudulent Charges If there is a discrepancy on the T-Card statement, it is imperative that the issue be addressed immediately with the vendor and/or the T-Card Administrator. Depending on the type of discrepancy, you will need to contact either the vendor or the T-Card Administrator to resolve the disputed transaction. If you believe the vendor has charged you incorrectly or there are problems with your order, you must first contact the vendor and try to resolve the error or problem. If you are able to resolve the matter directly with the vendor, and the error involved an overcharge, a credit adjustment should be requested. If the vendor disagrees that an adjustment is necessary, immediately contact your T-Card Administrator who will work with you and Bank of America to resolve the dispute. Bank of America will request complete details of the dispute in writing in order to research the item in question. Bank of America must receive any charge dispute within sixty (60) days of the transaction date. UNC Asheville pays all charges as billed on each statement (regardless of a transaction being in dispute status). Once the dispute status has been resolved by Bank of America, the bank will issue a credit. Although Bank of America acts as the 17

18 arbitrator in any dispute, you should never assume that a dispute would be resolved in the employee s favor. A fraudulent charge (e.g., a charge which was not initiated by you) must be reported immediately to Bank of America and the T-Card Administrator. Prompt reporting of any such charge will help to prevent UNC Asheville from being held responsible. Payment Process The T-Card Administrator will be reviewing card transactions to ensure program integrity. When the period ends, the T-Card Administrator will be monitoring approvals as they occur. Once the final approval time has passed (15 th of each month) the T-Card Administrator will initiate payment to Bank of America. 18

19 Compliance Assurance In order to ensure compliance with the policies and procedures of the program, the actions listed in the chart below will be taken by Financial Affairs when infractions occur. General descriptions and discipline measures are listed below. UNC Asheville reserves the right to revoke and cancel any T-Card(s) for failure to comply with policies and procedures of the program at any time. The Controller, upon the recommendation of the T-Card Administrators, reserves the right to evaluate the seriousness of any violation and may allow the department to provide an explanation, which may be used as the determining factor for the application of the infraction(s) that are listed in the chart below and to whether card privileges continue or not. UNC Asheville Purchasing, T-Card Administrators, and the Controller under the guidance of the University General Counsel and Internal Audit have the right to exercise appropriate action as deemed necessary. Records of Compliance Assurance will be maintained on an annual basis. The Cardholder must ensure that invoices and/or receipts are uploaded to Chrome River Travel as soon as the purchase is made or upon immediate return to the office. These invoices and/or receipts are vital in signing off on transactions in the Chrome River Travel system. If the reconciliation process is hindered by individuals not submitting expense reconciliations in a timely manner, then the T-Card Administrator reserves the right to revoke an individual s use of the T-Card. Infractions Split transactions Non-allowable purchases (See Page 11 for Non-allowable and Allowable) Misuse of funds Personal purchases made in error without immediate reimbursement to the University First Offense Second Offense Third Offense End-User will be notified by the T-Card Administrator via telephone with a follow-up and alerted to the infraction. This will be considered a verbal warning. Cardholder, Approver, Department Head/Dean will be ed a Violation Report by the T-Card Administrator. Card suspended for a minimum of thirty (30) days. T-Card is revoked. Cardholder may be blocked from a new card for up to twelve (12) months. 19

20 Criminal Activity: Personal purchase that is intentional. Fraudulent or willful misuse of the card, including willful, intentional, and repeated use of the card to make personal purchases even if you intend to reimburse the University, may result in disciplinary action, up to and including termination of employment. If you intentionally make a personal purchase, a theft of state property has occurred. Immediate card revocation will occur. The employee s department head, Dean, Vice Chancellor, and the Vice Chancellor of Finance and Campus Operations as well as General Counsel and Police and Public Safety will be notified. Appropriate disciplinary action will be taken. The cardholder will not be eligible for future T-Card use. 20