Cardholder On- line Training Procurement Card Program

1. Cardholder On- line Training Procurement Card Program

3. Purpose of the Procurement Card

4. What is a procurement card? A MasterCard which allows employees to purchase goods and services under the delegated limit directly from suppliers. The card is issued in your name and you are responsible for the security of it and the transactions on it. Activating the card requires a 4 digit PIN which is the last 4 digits of your SS#. You can activate your card by calling the customer service number listed on the back of your card. This will be the security code going forward that JP Morgan will ask for if you need information on your card. Your card is issued in your name. You are responsible for the security of the Purchasing Card and the transactions made with it. Your cards will designate on them whether it is a State card or a Local card. You may use the card at any vendor that accepts MasterCard. You may allow someone else to use your card. They must have filled out and sent attachment D to Colleen Locke. Be Aware! Even if you allow someone to use your card, you are still responsible for all purchases that were done on it. If you allow someone to use it, you must make sure they know the rules to follow. It is up to the vendors whether they will accept someone else using your card.Your card is issued in your name. You are responsible for the security of the Purchasing Card and the transactions made with it. Your cards will designate on them whether it is a State card or a Local card. You may use the card at any vendor that accepts MasterCard. You may allow someone else to use your card. They must have filled out and sent attachment D to Colleen Locke. Be Aware! Even if you allow someone to use your card, you are still responsible for all purchases that were done on it. If you allow someone to use it, you must make sure they know the rules to follow. It is up to the vendors whether they will accept someone else using your card.

5. How Do I Use It? Same as a regular credit card; however, the credit is tied to the University�s credit and does not affect personal credit. In accordance with established guidelines/controls. PCARD_TRAINING PROGRAM GUIDE (http://purchasing.tamucc.edu) By completing and signing Cardholder Purchasing Card Agreement/Application after completion of this training, you are signing that you understand the intent of the program and agree to follow the established guidelines as listed in the Purchasing Card Program Guide. For allowed purchases only, as listed in the Purchasing Card Program Guide. Not for personal use. Reconcile, allocate cost, and approve transactions monthly, as stated in the Purchasing Card Program Guide, Smart Data Online Reconciliation Guide.

6. Can someone else use my card? Yes, a 2nd user can be authorized to use your card. Both, you and the 2nd user, will be required to sign a 2nd user authorization Procurement Card Agreement. It is your responsibility to ensure that persons using your card are aware of the policies and procedures before using the card. You, the cardholder, are ultimately responsible for all charges on your card.

7. Who Do I Contact In Case of Questions? Program Administrator Oversees Procurement Card Program including approvals of applications and limit changes. David D�vila 361-825-2616 David.davila@tamucc.edu Program Coordinator Responsible for the day to day administration of the program for TAMU-CC. Contact person for any questions or problems regarding the program or if card is declined. Ruben Gonzalez 361-825-2777 Ruben.gonzalez@tamucc.edu

8. Department Head/Supervisor Responsibilities The department/supervisor, or designee, is responsible for designating cardholders, assisting in assigning cardholder limits, and approving monthly Expense Reports to ensure they include ALL receipts and are within TAMU-CC�s policy guidelines. They are also responsible for designating personnel to have access to Smart Data On-Line (SDOL) for reconciliation of accounts. The department head/supervisor or designee, shall review the usage of the Procurement Cards and cancel cards based on non-usage.

9. CARDHOLDER RESPONSIBILITIES Read Procurement Card Program Guide. Keep proper receipts of all purchases. Submit all original receipts to Purchasing when state funds are used. Reconcile monthly expense report using Smart Data Online. Allocate cost to proper account. Ensure that the monthly expense report is sent to Purchasing by the 15th of each month.

10. What action is needed for Returns, Credits, and Disputed Charges? Should a problem arise with a purchased item or charge, every attempt shall be made to first resolve the issue directly with the supplier. Returns: If a cardholder needs to return an item to a supplier, contact the supplier and obtain instructions for return. Note that some suppliers may charge a restocking or handling fee for returns. Credits: If the supplier accepts an item as a return, a credit for this item should appear on the current or following month's statement. Disputed Charges: If a cardholder finds a discrepancy on a monthly statement, the cardholder should contact the supplier and attempt to resolve the problem directly. All disputed items should be documented. A copy of the form and letters shall be kept as documentation.

11. What if my card is Lost or Stolen? If your card is lost or stolen, immediately phone JP Morgan Chase FIRST to report it missing. CUSTOMER SERVICE: 1-800-890-0669 2nd Contact P-card Coordinator to inform Purchasing of the situation. 3rd Notify your Department Manager/Approver

12. Upon Employee Termination/Transfer The Procurement Card will be cancelled upon the cardholder�s termination. Supervisor must send an email to P-card coordinator, stating the cardholder is leaving and their effective separation date. * If an employee transfers to a different department, a new application/approval must be completed and signed by new department head.

13. What is my Transaction Limit? SINGLE TRANSACTION limit is up to $5,000.00. A transaction includes the purchase price plus freight and installation.

14. Restricted Vendors The Procurement Card Program restricts the use of certain types of suppliers and merchants. (ie. Travel related hotels, airlines, and rentals.) The Pcard will be declined if presented to a type of vendor that has been restricted. Any vendor that is on state hold is restricted and cannot be purchased from.

15. Can I Split a Purchase? NO! Splitting purchases is NOT allowed under any circumstance. - Splitting is done by breaking up a large purchase into smaller purchases in order to circumvent state and federal laws, rules, regulations or policies. Examples: Two or more purchases from the same vendor, at virtually the same time. Using the procurement card to pay for the goods or services that exceed the single purchase limit assigned to the cardholder. Dividing the purchase between different dates. Dividing a purchase between two cardholders. Cardholder dividing a purchase for the same type goods or services between two vendors.

16. Do I pay sales or use tax? NO! Texas A&M University-Corpus Christi is tax exempt. The cardholder is responsible for ensuring that sales and use tax are not charged. Texas A&M University-Corpus Christi�s tax identification number is 37607607605000 Federal ID # 74-1760663. �Texas Sales and Use Tax� Exemption form available upon request

17. The Following slides are examples of Acceptable and Unacceptable Purchases.

18. Acceptable Purchases

19. Important Notes for �Acceptable Purchases� are found on the Procurement Card Program Guide. The most current guide can be downloaded from the purchasing website : http://purchasing.tamucc.edu

20. Unacceptable Purchases Advertisements for Staff Alcoholic Beverages Animals Cameras (exceeding $500) Cash Advances Cash or cash equivalents (gift certificates) Computers/Laptops (*Controlled Asset)

21. Unacceptable Purchases(continued) Consulting or professional services, i.e. pest control, cleaning services **Controlled Assets Controlled substances or prescription drugs Copiers Cylinder gases Dues Dormitory charges for students Entertainment

22. Unacceptable Purchases(CONTINUED) Fabrications of equipment Facsimile machines Firearms (weapons) Food (prior approval required) Hazardous chemicals or materials Housing for guest instructors Insurance of any type Leases or rentals Maintenance Agreements

23. Unacceptable Purchases(CONTINUED) Memberships Penalty on late payment to vendors Personal Items Printers over $500 Services Travel and related expenses, i.e. airline, rental car, hotel, food Utilities

24. Historically Underutilized Business � HUB Program

25. Non Compliance Non Compliance is defined as late receipt of Expense Reports, unacceptable purchases, lack of documentation to back up expenditures, and over spending of budgeted funds. Multiple notifications to a single cardholder/department for insufficient budgets may result in the revoking of all card privileges. Non-adherence to State and University Purchasing and Procurement card policy and procedures will result in the revoking of all card privileges.

26. Summaryfor Cardholders to remember Obtain original receipts from vendors itemizing goods purchased. Print screen for those items purchased on the internet. Verify there is NO tax charged on the receipt. Highly recommended to keep Transaction Log of all purchases. Reconcile all transactions for monthly expense reports Submit all Expense Reports no later than the 15th of the month. The Expense Report must be signed by both the cardholder and the Account Responsible Employee All original receipts for state expenditures must be included.

27. Further Instructions We encourage you to go online to the Purchasing website and print the Procurement Card Guide to review the policies, procedures, and attachments. Also, included in the Guide are step by step instructions for the use of Smart Data Online (SDOL) and Summuslink.com SDOL is the online system used for reconciliation and monthly expense reports that are required for each cardholder. Summuslink.com is the contracted office supplies vendor, which cardholders are automatically set up through after completing the Pcard Training. Contacts for Summus: Fabiola Garza (Staples Account Manager): 956-961-9810 or fabiola.garza@staples.com George Mayfield (on campus Staples Representative): ext 5552 or george.mayfield@summusindustries.com