Transcript Purchasing Card Update 111609

John Carroll University
Purchasing Procedures &
The Purchasing Card
Guidelines
Usage
Reporting
John Carroll University Purchasing Office
• Andrew Fronczek, C.P.M.
Director of Purchasing & Auxiliary Services
• Tom Reilley
Manager of Purchasing & Auxiliary Services
• Lisa Brown
Purchasing Staff
How Are Goods/Services Purchased
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Purchase Orders
VISA Purchasing Card (Pcard)
Preferred Vendor w/ORGN Code
Direct Billing (Without a PO)
Personally
(Receipts Subsequently Submitted for
Reimbursement with a Multi-Voucher Form)
General Purchasing Guidelines
• Most Items/Services <$500 Do NOT
Require a PO
• Items/Services $500 or more require a PO
• Non-Capital Items/Services:
– $1500 require multiple verbal/documented
quotes
– $5000 require multiple bids
• Capital Items
– $10,000 require multiple verbal/documented
quotes
– $25,000 require multiple bids
NOTE: POs Must be Approved by the Purchasing Office Before an
Order can be Initiated with a Vendor!
Items Requiring a PO Regardless of Cost*
• Printed/Imprinted Items
(Including Stationery, Brochures, Ads, Clothing, Tshirts, Ad Specialty Items)
• Office Products
(Except through StaplesLink Online)
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Computer Products
Electronic Items
Furniture & Fixtures
Hazardous/Controlled Substances
* Use of the Pcard may be allowed with permission of the Purchasing Office
Using Preferred Vendors
• Allows University Community to
Purchase “Approved” Items Directly
from a Vendor with their ORGN
Codes (No PO Required)
• Preferred Vendors
– Staples Business Advantage
Online Procurement
& via Staples Business Card (Emergencies Only)
– Fairfield Inn & Suites (Phone, Fax, or w/Pcard)
Must provide Dept. Name, Contact, & ORGN Code
– Enterprise Car Renal (Phone, Internet, or w/Pcard)
Must provide Dept. Name, Contact, & ORGN Code
Printed/Imprinted Items
• All Items Require a PO Printed/Imprinted
Items – Including Reprints!
• Exceptions
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Contracted Items that have been Bid
Use of the Logo Shop located in the Copy Center does not
require a PO…Only Orgn Codes are needed
http://www.jcu.edu/fas/pas/logoshop.htm
• All Content Must be Approved by
Marketing & Communications
• Rights to the Use of the University’s
Name and Logo must be obtained from
the Purchasing Office
• These Guidelines apply to Departments,
Student Organizations, & Clubs
Guidelines Concerning the Purchase of Printed/Imprinted Items Using University Funds
http://www.jcu.edu/fas/links/policies.htm
Food & Entertainment Purchases
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University Funds should NOT be Used to Purchase
Meals/Food for:
– Individuals
– University Groups consisting solely of University
Personnel conducting University Business (unless
the conduct of such Business cannot be
accomplished otherwise)
– Outside Vendors
University Funds may (on a Limited Basis) be Used to
Purchase Meals/Food for:
– Meals when a University Employee is Hosting a
Guest (e.g. Speaker, Recruit, Donor, Board
Member)
– Meals/Food Purchased for the Benefit of Students
as a Reward or in Connection with a UniversitySponsored Activity
Budget Advisory: Restrictions Concerning Meal Purchases with University Funds
http://www.jcu.edu/fas/links/policies.htm
Gifts & Gift Cards/Certificates
• University Funds should NOT be Used to
Purchase Gifts and Gift Cards/Certificates for
Employees
• Gifts & Gift Cards/Certificates Used as
Raffle/Door Prizes for Student Activities/Events is
Permitted with Pre-Approval of the Director of
Purchasing & Auxiliary Services or the Vice
President for Finance
• The Group/Individual Must Document the
Number/Value of these Items for Approval
• Upon Distribution of these Items, the Name,
Phone Number, and Signature of the Recipients is
Required
John Carroll University Purchasing Card (Pcard)
http://www.paymentnet.com
Pcard Executive Administrators
• Richard Mausser, CPA
Vice President of Finance
• Andrew Fronczek, C.P.M.
Director of Purchasing & Auxiliary Services
• Matthew Verleny
Senior Accountant
• Additional Individuals with Pcard
Management Responsibilities:
– Tom Reilley
Manager of Purchasing & Auxiliary Services
– Lisa Brown
Purchasing Staff
A Growing Trend in Procurement
In Fiscal Year 2008-09…
• Over 270 University Employees
• Almost 16,000 Purchases
• Approximately $5,000,000
“This has created meaningful purchasing efficiencies for the Cardholders,
Accounts Payable, & the Purchasing Office”
Rich Mausser, V.P. for Finance
Advantages of Using a Pcard
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Cardholder
No Waiting for Reimbursements or Payments
Reduces the need to Obtain POs
Can be Used Anywhere that Accepts VISA (More Flexibility)
Quicker Purchases (Outside of Normal Business Hours)
Online Purchases
Quicker Delivery of Goods & Services
Entire System is Online
(Electronic Review and Approvals from Anywhere)
Budget Administrator
More Flexibility in Managing your Budgets
Less Chance for Duplicate Payments
Customized Spending Limits for Cardholders
Reduced Paperwork throughout the Purchasing Process
Electronic Approval and Oversight
University
• Overall Reduction in Paperwork, Esp. for Small $ Items
• Payment Processing Rime Reduced
• Cost Savings
Who Should Have a Pcard?
• Anyone who Purchases at least
once a Month
• Anyone who Travels at least
once a Year
• Pcards are not Benefits…..They
are Procurement Tools
Direct Billed Invoices will not be
Accepted from Anyone more than Once
who meets the Criteria Listed Above!
(Exception: Student Organizations)
Cardholder Responsibilities
• Adhere to All Purchasing Policies &
Guidelines!
• Keep Your Card Safe!
• Process Your Online Transactions &
Monthly Statements as Required
• Make sure the Vendor does Not
Charge Sales Tax
(TE Number is Printed on the Card, but is Not
Automatically Applied)
• Report Lost/Stolen Cards
Immediately (800-270-7760)
Suggested Pcard Purchases
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Dues and Professional Memberships
Magazine & Newspaper Subscriptions
Books and Periodicals
Travel Expenses (including Ground Transportation,
Hotel Accommodations, Parking, Restaurants, Tolls,
Airline Tickets)
Car Rental (short-term)
Food (not for employee-only consumption)
Entrance fees
Fuel
Advertisements
Catering Services
Conference/seminar registration fees
Florists
Software (with approval of Information Services)
Equipment less than $500, except for computer and
office
Supplies less than $500, except for computer and office
Prohibited Pcard Purchases
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Items for Personal Use
Office Supplies
Computers (must be purchased through Information
Services)
Furniture
All Portable electronic devices (including cell phones,
ipods, PDA’s, digital cameras, GPS units)
Pre-recorded AV Materials (including CDs or DVDs)
Gifts or Donations (including any type of gift card)
Packaged Alcoholic Beverages
Prescription Drugs and Controlled Substances
Radioactive Materials
Services involving Labor, Indemnity, & Insurance
Vehicle Purchases or Long-Term Leases
Weapons, Ammunition and Detonating Equipment
Bio-Hazardous Materials, Live Biological or
Bacteriological Viruses
Cash Advances
Reviewing Purchases Online
• Transactions Post within 2-3 Days
– Login & Verify ORGN & ACCT Codes,
Add Activity Code (optional)
– Add Notes, Check Reviewed Box &
Save
• Food/Travel/Entertainment MUST be
Detailed with Who, What, & Why
Online Processing of Transactions
Completing Transactions that need to be
Charged to ORGN Codes You do not have
• Change the ORGN Code to “None”
– If you are splitting transactions and do not have
access to one of the Orgn Codes, You should
leave ORGN Code at None & Describe how
You Need the Split Allocated
Do Not Assign the Codes You Have Access to!
• Add Notes and Include the ORGN
Number and Person who gave You
Permission to Use this Number
• If You will Use this ORGN Code on a
Regular Basis, Obtain Permission to have
it Added to Your Drop-Down Menu from
the Administrator who Controls this Code
and Notify the Purchasing Office
End of Month Processing
• At the End of the Month, Print Notes,
Attach Receipts, & Statement
• Sign Statement and Forward to your
Budget Administrator/Supervisor for their
Review & Signature
• The Budget Administrator is Responsible
for Reviewing All Purchases by their
Cardholders
The Approval Process should not be Administered
Using a “Rubber Stamp” Mentality!
Generating Your Monthly Detailed Report
Printing Your Monthly Statement Online
Assembling Your Monthly Paperwork
• Due by the 15th of the following month
All Pcard Statements
Two
Signatures
(No Exceptions)
– There is a Require
15 day grace
period
(end of the month)
Cardholder’s
Signature
• Trans. Numbers
should
be written on all receipts
Budget Administrator’s Signature
• Place small receipts in an envelope or send copies
(The Budget Administrator is Responsible for Carefully Reviewing the Cardholder’s Purchases)
Important Pcard Dates
• Online Review and Notes MUST be
Completed before the 10th of the Following
Month
– Reminders are sent on approximately the 5th
(initial) & 9th (final)
– Failure to Complete Online Processing by the
10th will Result in Pcard Suspension
– After the 10th, All Changes have to be Done with
a Journal Entry Form & Notes Manually Written!
• The “Signed” Monthly Statement Package
is Due in the Purchasing Office by the 15th
– Any Statements Not Received by the Beginning
of the following Month may Result in Pcard
Suspension
Accidental Personal Purchases
• Call & Report the Incident to the
Purchasing Office
• Go to the Cashier’s Office with a
Check in the Amount of the Purchase
– Have the Transaction # listed on the Receipt
– Deposit the Funds against the Budget Number listed
under the Transaction
• Enter Notes Online listing the
Transaction as a Personal Purchase
along with the Receipt # from the
Cashier’s Office
• Attach the Cashier's Receipt to your
Monthly Statement
Missing Documents
• All Transactions Require
Documentation
• Receipts, Invoices, Emails with
Purchase Information are Acceptable
• The Cardholder should call Any
Vendor and Request Missing
Receipts
• A Missing Receipt Form is Used for
an Occasional Missing Receipt
A Missing Receipt is the Exception….No Monthly Statements
Should be Submitted with Numerous Missing Receipt Forms!
What if My Pcard Gets Suspended?
• All Purchases, Regardless of Value,
will Require a PO
• Travel Expenses will have to be Paid
Personally
– No Cash Advances
– No Reimbursements for Missing Receipts
or Purchases that are Not in Compliance
• Your Pcard will be Re-Instated
following Suspension after Attending a
Pcard Refresher Training Class
• Any Future Suspensions may Result in
Loss of All Purchasing Privileges
Need Help, Please Call
Thank You
The Purchasing and
Accounts Payable Offices