ADMINISTRATIVE POLICIES & PROCEDURES MANUAL Number: Revision: Subject: Finance Credit Card Policy Effective : Page: FIN-6 Supersedes: January 16, 1995 1 June 18, 2002 Brad Corcoran Brad Corcoran, City Manager 1 of 1 Fin 6.0 Purpose: To establish a policy for credit card usage for all city employees. FIN 6.1 Applicability: This policy will apply to all City Departments. FIN 6.2 Policy: The City of Eden credit card policy covers all employees and their usage of credit cards. These credit cards are issued for the convenience of the employee and the city while traveling on city business. Personal use of these cards is unlawful and strictly forbidden. Fin 6.3 Exceptions: NONE
City of Eden Credit Card Usage Policy The City of Eden Credit Card Usage Policy covers all uses of the credit card by any city employees. All employees who use the cards must accept responsibility for the card and use it in a manner consistent with the following policy. Overview The City of Eden would like to pursue implementing a Credit Card Program. This Program uses a MasterCard welcome by most vendors worldwide. This program should streamline our training and travel process. The City of Eden Credit Card is for travel by City Council and City Employees only on city business. This program offers the City a tool empowering the employees, providing them with an easy way to travel without the hassle of travel advances, writing manual checks for registration for school, seminars, or classes at the last minute. This program will be administered by the Finance Department. This department will be responsible for overseeing that control is enforced. The Finance Department will issue a card to the employee only upon the proper approval of the department head and City Manager. When a card is issued to an employee, only that employee is authorized to use it. No one else can borrow the card or be delegated to charge any item to the city. The employee who lends or allows anyone to use the card and the employee who uses the card shall be responsible for all charges. After an employee has returned from a trip, he/she shall immediately return the card to the finance department, then shall prepare his/her Travel Expense Report, attaching all receipts, credit card slips and other documentation. The Department head shall review, approve and forward to the Finance Department within two business days after employee has returned from his/her trip. Each month First Citizens will send an itemized statement of our account to the Finance Department. The Finance Department will reconcile the statement to the travel vouchers. Discrepancies will be dealt with immediately. The department head and employee will be contacted. If necessary, the vendor will be contacted. If the discrepancies cannot be resolved, the employee shall be required to reimburse the disputed amounts to the City. Compliance with General Statue 159, Article 3 will be administered by the Finance Department. The Finance Department receives and pays the statements from First Citizens Bank that includes all monthly charges for all cards. Uses: The card can be used for: a. registration of classes b. seminars
c. schools Credit Card Policy, page 3 d. meals e. hotels, motels f. travel arrangements g. gas, oil, and minor repairs for City Vehicles The card shall only be issued to employees for travel on city business. The card shall not be used for purchase of merchandise, supplies or services not directly related to the classes, seminars, schools and travel while on city business. The card can be used for the emergency repair of city vehicles while traveling. Issuance : The Finance Department will issue a card for the use of an employee while traveling on City business. The card will only be issued upon: a written request by the department head, approved by the City Manager; and a properly filled out and approved overnight travel form; and an employee signing for card Return: Immediately upon returning, the employee shall return the card to the Finance Department. Within two business days, the employee shall turn in his Travel Expense Report with all credit card slips and receipts. Employee Responsibility: Employee will sign a City of Eden Credit Card Program Employee Agreement (Exhibit A) and acknowledges the receipt of the card, has read and understands the policy, and agrees to accept card responsibility. If card is lost or stolen, the employee shall immediately notify First Citizens Bank at any hour of the day or night and the Finance Department as soon as possible the next day. The employee is responsible for the card and shall not loan or delegate anyone else to be responsible for the card or its use. The employee shall not charge in excess of the credit limit. The employee shall make sure only authorized items are charged on the card. The employee shall collect the card receipts from the vendors and turn them in to the Finance Department with a properly filled out Travel Expense Form. The employee shall collect and retain all slips, charge receipts and other documentation to support any transaction made on cards. The employee shall surrender the card immediately upon request of any authorized representative of the City.
Credit Card Policy, page 4 Finance Departments Responsibility: Shall keep the cards in a secure manner until issued for use. Cards will only be issued with the proper authorization. Shall verify travel reports and receipts for proper usage. Shall pay balance before due date. Shall maintain a current list of employees authorized to use cards. Shall allocate to each department its expenses. Shall bill employee for any unauthorized purchases. A willful violation of this policy shall constitute detrimental personal conduct under section 10-9.5 of the City of Eden Personnel Ordinance. Any employee who willfully violates this policy is subject to immediate disciplinary action up to and including termination of employment.
Credit Card Policy, page 5 Exhibit A. City of Eden Credit Card Program Employee Agreement. I,, agree to the following regarding my use of the City of Eden Credit Card. 1. I understand that I am entrusted with a First Citizens Credit Card and will be making financial commitments on behalf of the City of Eden, and will strive to obtain the best value for the city. 2. I understand the credit limit on this card is $2,000. 3. I understand that under no circumstances will I use the credit card to make personal purchases, either for my self or others. 4. I will follow the established procedures for using the credit card. Failure to do so may result in either revocation of my privileges or other disciplinary actions, including termination of employment. 5. I have been given a copy of the City of Eden Credit Card policy and understand the policy and the possible penalty for violation of it. 6. I agree that should I willfully violate the terms of this policy and use the Credit Card for personal use or gain, or allow another employee use a card assigned to me, I will reimburse the City of Eden for all incurred charges and any fees related to the collection of those charges including attorney fees and court costs. Employee Name Credit Card Number Employee Signature Finance Department Signature
Credit Card Policy, page 6 Exhibit B Employee Acknowledgment Letter I,, here by acknowledge receipt of the City s First Citizens Bank Credit Card. I agree to use this credit card only for actual and necessary business expenses incurred in accordance with the Credit Card policy and the City of Eden Credit Card Program Employee Agreement that I have signed. If the card is lost, stolen, or misplaced, I will immediately notify First Citizens Bank by phone. I will also inform the Finance Department of this loss. I understand that failure to immediately notify First Citizens of the theft, loss or misplacement of the card makes me personally responsible for any misuse or fraudulent use of the card by any other person, company, corporation or employee. I also understand that any violation of the City of Eden s Credit Card Policy may result in immediate disciplinary action up to and including termination of my employment. I agree to surrender the card immediately upon my return or upon the request of any authorized representative of the City. I understand that use of the card after privileges are withdrawn is prohibited and constitutes a violation of the City of Eden s Credit Card Policy. Employee Name Credit Card Number Employee Signature Finance Department Signature
Credit Card Policy, page 7 Exhibit C Authorization to use Credit Card Please issue one credit card for the use of during his/her trip to. The employee should return on or about I have attached a complete Overnight Travel Approval from as approved by the City Manager. If more than one employee is traveling, the above named employee is designated employee for purposes of charging on the credit card. Department Head Name City Manager Signature Finance Department Signature
City of Eden 308 E. Stadium Drive Eden, NC 27288 Overnight Travel Approval Form Department: Purpose of Travel: s of Trip: Employees Traveling: Method of Travel: to Estimated Cost Breakdown: Approved By: Travel Lodging Meals Conference Fees Other Total ====================== Department Head City Manager
Name: City of Eden Travel Expense Report : Purpose of Trip: Meals & Tips (Attach Receipts) Breakfast Tip Lunch Tip Dinner Tip Total Total Other Expenses Description Motel $ Plane or Train Fare $ Registration Fee: $ Private Car Allowance Miles @ 36.5 $ Beginning Mileage Ending Mileage Gas for City Vehicle Gallons $ Miscellaneous $ Total Expenses $ Less Amount Advanced: $ Total Due City $ Total Due Individual $ Submitted By: Approved By: Account Number: Finance Director City Manager NOTE: IF YOU USE A CITY VEHICLE, FILL UP BEFORE LEAVING EDEN. GAS FOR CITY VEHICLE SHOULD BE WRITTEN UP AND SUBMITTED SEPARATELY. ALSO, THE CITY IS ABLE TO OBTAIN A REFUND OF ALL NC SALES TAXES PAID AND SHOWN ON RECEIPTS.