The university procurement card program was established to purchase mission-critical, low-cost (less than $1000) non-capital purchases (less than $5,000) and travel-related expenditures. The procurement card is intended to be used in situations that necessitate the need for an electronic payment. It is an alternate purchasing process and University contracts are required to be used where possible. Prudent use of the procurement card is essential to effective fiscal management.
Division Heads are responsible for practicing sensible fiscal management within their organizations. Fiscal Services Managers, in consultation with Procurement Card Services and in accordance with the strategy set forth by the Division of Finance, will assess their division’s needs and tailor the procurement card program for their respective college/department with a goal of issuing only cards that are necessary. Fiscal Services Managers are responsible for the oversight and approval of procurement card purchases. Electronic or manual approval on an expense report indicates the expense is essential and complies with university policy.
Policy exception requests will only be accepted and evaluated under extraordinary circumstances. Evaluation of exception requests will be evaluated by the Chief Operating Officer or their designee, in consultation with the Director of Procurement.
9340.3 General Guidelines and Accountability
All cardholders are required to read and sign a Procurement Cardholder Usage Agreement before a card will be issued. Terms of this agreement will be strictly enforced.
All purchases must be:
- In compliance with all university policies including, but not limited to, expenditure guidelines (University Policy 9130), purchasing guidelines (University Policy 9320), and travel guidelines (University Policy 9510);
- Documented adequately with an itemized receipt from the transaction;
- Cardholders are responsible for resolving discrepancies and ensuring credits are received;
- Made in accordance with granting agency requirements;
- Used in a manner consistent with the policies and procedures governing university departmental purchase orders;
- Reported, approved and exported to Banner from Chrome River within 30 days from the transaction date.
Procurement cards are not transferable and must only be used by the cardholder of record. Departmental cards are denoted with the departmental name and have a pre-determined responsible party. Prohibited transactions and restrictions include:
- Fraudulent or intentional misuse of a card;
- Card usage for any personal expenses;
- Pyramiding (grouping transactions to the same vendor in a series of transactions that circumvent cardholder transaction limitations);
- Cash advances;
- Cash back refunds or store/vendor credit;
- Unallowable purchases, including capital equipment valued over $5,000;
- Ohio sales tax;
- Campus purchases, i.e. Bookstore, Dining, Ticket Office, etc.;
- Payments to independent contractors;
- Unauthorized purchases, all purchases require approval prior to purchase.
Annual mandatory training will be administered by the Office of the Controller. Failure to complete training timely will result in termination of procurement card privileges.
Misuse of the procurement card, including prohibited and restricted transactions, will result in termination of the card and/or further disciplinary action, for both the cardholder and for any supervisor who approves an inappropriate expenditure.
Transactions reported, approved, and exported to Banner within 30 days of the transaction date will be considered timely. Failure to timely report expenditures and receive approval will result in the following, which will be strictly enforced:
- 1st Occurrence – Cardholder and Fiscal Services Manager are notified and procurement card(s) suspended until all of the cardholder’s transactions are exported to Banner.
- 2nd Occurrence – Cardholder and Fiscal Services Manager, Division Head and Chief Operating Officer are notified and procurement card(s) suspended for 30 days. All cardholder transactions must be exported before procurement card(s) is/are reinstated.
- 3rd Occurrence – Cardholder and Fiscal Services Manager, Division Head, Chief Operating Officer are notified that procurement card(s) privileges are permanently suspended and a written record of the suspension will be placed in the Cardholder’s personnel file.
9340.4 Default Credit Limits
New cardholders will be issued cards in accordance with University default limits. Monthly transaction limits may be tailored based upon the cardholder’s usage history and require both the approval of the Fiscal Services Manager and the Controller or their designee.
The Office of the Controller shall develop best practices, training materials, and offer training classes on the use and reconciliation of procurement cards. Information can be found at https://www.wright.edu/controller/procurement-card-services.
Lost, Stolen, Replacement Cards
Cardholders must immediately notify Bank of America and email@example.com with a lost, stolen, or replacement card as follows:
If a card has been lost or stolen and a fraud has occurred, the cardholder must call Bank of America’s Fraud Department, 1-866-500-8262.
If a replacement card is needed and no fraud has occurred, the cardholder must call Bank of America Cardholder Support 1-888-449-2273.
9340.6 Audit of Procurement Card Transactions
Internal Audit shall periodically audit the administration of the procurement card program as directed by the Board of Trustees. The audits will ensure that:
- transactions have been reviewed and approved by supervisors and Fiscal Services managers;
- receipts and documentation are appropriately attached to the transactions;
- expenditures are for a reasonable business purpose;
- expenditures comply with University policies;
- instances of noncompliance are corrected.
A report summarizing the results of these audits will be provided to the Fiscal Services Manager and the Office of the Controller.
Findings of noncompliance will result in the suspension of the cardholder’s privileges. The University reserves the right to revoke cardholder privileges at any time and without notice in accordance with the Cardholder Usage Agreement.
Within 30 days of the audit report, the Fiscal Services Manager will provide the Office of the Controller with comments on the audit, including any corrective action taken.
Copies of the audit report, with Fiscal Services comments, will be provided to the appropriate dean or vice president, as well as to the Provost and the Chief Financial Officer/Chief Operating Officer.