The University of Louisiana at Monroe PURCHASING DEPARTMENT La Carte (P-Card)

1. The University of Louisiana at Monroe PURCHASING DEPARTMENT La Carte (P-Card) Purchasing Card Program April 23, 2012

2. Overview • Introduction & Purpose • Benefits • Cardholder Responsibilities • How the Program Works • Important Information

3. Introduction and Purpose • What Is It? • LaCarte (P-Card) is a university owned VISA credit card that is used to make small dollar purchases directly from vendors. • The individual named on the card is responsible for making “business related” purchases that are in compliance with university and state policies. • The P-Card carries a corporate liability

4. La Carte P-Card Program • Who Issues the Card?

5. View of the P-Card • LA State sales tax exempt number • 128-4900-001 • Cardholder’s name • University of Louisiana at Monroe

6. Benefits • Prompt payments to vendors • Less Expensive - Reduces processing costs and paper flow • Reduces the number of purchase requisitions and/or Check Requests processed by Purchasing • Reduces the number of invoices/payments processed by Accounts Payable

7. Card Controls • Monthly Billing Cycle • Begins on the 16thand ends on the 15thof the following month. • Dollar Limits & Transaction Limits • If you exceed the dollar or transaction limits, your card will be declined at the Point of Sale (POS). • Merchant Category Codes (MCC) • Attempts to purchase from restricted & prohibited MCC’s will cause the transaction to decline at the POS.

8. P-Card Program • How Much Can I Spend? • P-Card purchases are limited to an individual’s Single Transaction Limit (STL) or $1,000 per transaction (including shipping and handling). • CAUTION: DO NOT split a transaction. Purchasing items that exceed the Single Transaction Limit and separating the payment into two or more transactions isNOTallowed. Artificially splitting a purchase is a violation of State law.

9. Purchases Are Not To Be Artificially Divided Executive Order BJ 2010-16, Small Purchase Procedures, Section # 6 states the following; • In the absence of a good faith business basis, no purchase or procurement shall be artificially divided within a cost center, or its equivalent, to avoid the competitive process or the solicitation of competitive sealed bids. • Artificial division of purchases to circumvent the Single Transaction Limit (STL) of a P-Card is NOT allowed. Artificial division of purchases can be outlined as follows: • Budget unit making two or more P-card purchases for the identical commodity on the same day or within the same week whose combined total cost exceeds the STL. • Budget unit making two or more P-Card purchases to the same vendor on the same day or within the same week whose combined total cost exceeds the STL. • Budget unit making two or more P-Card purchases to similar vendors* for identical or similar commodities** on the same day or within the same week which exceed the STL. *   Similar vendors are suppliers selling products within the same industry category, i.e., athletic, automotive, data processing, electrical, medical, office, scientific, etc. ** Similar commodities are items which possess general characteristics within the same industry category, i.e., athletic, automotive, data processing, electrical, medical, office, scientific, etc.

10. Unauthorized Purchases Cash Advances, Wire Transfers Travel Expenses Alcoholic beverages Auto Rentals/Leases Individual Memberships Gifts/Gift Cards/Gift Certificates Food and Meals Cell Phones/Services/Blackberries PostageStamps Consultants/speakers (1099 Vendors) Prescription drugs/narcotics, etc. CapitalOutlay/Computers(707000’s)

11. Authorized Purchases Office Supplies Materials and Supplies Books and Subscriptions Scientific and Lab Supplies Institution Memberships Mail Transportation Services

12. Cardholder Responsibilities • Directly responsible for appropriate card use • Sharing & lending cards isNOTallowed • Keep the purchasing card in a safe and secure location • Make allowable and appropriate purchases • Personal charges are STRICTLY PROHIBITED • Gather and assemble all supporting documentation (receipts, invoices, etc.) • Receive and inspect orders

13. Cardholder Responsibilities • Receive individual monthly memo statement from Bank of America • This is not a bill • Cardholder should mark the Index and Expense Codes on documents prior to submittal to the Controller’s Office • Surrender the card upon termination of employment or upon request by their Next-level Supervisor, Department Head or P-Card Administrator

14. Procedures: Place the Order • Purchases in Person • Purchases by Telephone, Fax • Purchases via the Web

15. In all P-Card purchasing situations: • Verify sufficient funding exists in the specified budget and expenditure code • Identify if the purchase is appropriate for a p-card transaction • Check list of restricted purchases • Advise vendor that the P-Card is state sales tax exemptBEFOREthe transaction begins • Obtain detailed receipt and retain all documents

16. In all P-Card purchasing situations: • BEFOREyou make a p-card purchase, always ask a vendor if they are a 1099 reportable • 1099 reportable vendors arenot allowedon the P- Card • Guidelines to identify a 1099 reportable: • Company name is a person’s name • The word “Service” is in the company name • Company namedoes nothave “INC.”, “CORP”, or “PC”

17. Taxes Notes About Sales Tax • Some vendors may require a copy of the State sales tax exemption certificate • Request a copy by e-mailing Purchasing • If sales tax is charged, it is the cardholder’s responsibility to request a credit to the cardholder’s account

18. Required Documentation • Cardholders MUSTcollect itemized receipts for all P-Card purchases. • Document/Receipt examples: • Cash Register Tape • Detailed Packing Slip • Copy of Order Form (e.g. subscription) • Registration form • Web receipt or e-mail acknowledgement from vendor

19. Receipt Details • Receipts vary in appearance and type of information provided but generally included the following: • Date of purchase • Vendor name • Description of item(s) • Quantity, unit price, total • Must submit original receipts • Handwritten receipts are unacceptable

20. Procedures:Missing Receipts • Contact vendor to get a receipt- This is the fastest and simplest method • Copies of receipts are acceptable only when originals are not available or cannot be obtained

21. Paying with P-Card • The vendor will require the following information when paying with the P-Card: • Name on the card • P-Card number and expiration date • Tax Exemption Number • Campus delivery address (if ordering items to be delivered University of Louisiana at Monroe Receiving Location (your name, department, building and room #) 700 University Avenue Monroe, LA 71209

22. Procedures: Shipping • Shipments to a cardholder’s home areStrictly Prohibited • Shipments to other ULM locations and affiliated entities are permissible; must get receipts

23. Procedures: Returns & Credits • The cardholder is responsible for contacting a vendor & arranging a return for replacement or credit: • DO NOTaccept cash in lieu of a credit • Request Return Authorization Number • Request credit receipt or slip • Credits will appear on future statements

24. Card Maintenance • Use Cardholder Enrollment Form • Change of address • Name change • Replacement card request

25. Procedures: Dispute Items • Contact the P- Card Administrator if there are any charges on your statement that you do not recognize. • P- Card Administrator will direct you to complete the Statement of Disputed Item form. (Located on the Purchasing Web Page under ULM Forms) • If the disputed amount is credited, you will see it on a future statement.

26. Lost or Stolen Cards • Notify Bank of Americaimmediatelyby calling: 1-888-449-2273– anytime • Zero personal liability • Lost or Stolen Cards will be shipped to the P-Card Administrator • DO NOThave BOA reissue a card directly to you. All cards must be received and distributed by the P-Card Administrator. • Upon termination/transfer the card must be cancelled and returned to the Purchasing Department.

27. Other Important Information • P-Card is to be used for official business only • WILL NOTaffect your personal credit • Violators of policies and procedures will be subject to disciplinary action • CAUTION VIOLATIONS: • Personal or unauthorized purchases • Split purchases • Alcohol

28. Other Important Information • Failure to comply with all P-Card policies and procedures may result in the following: • Payroll deduction • Account suspension/deactivation • Permanent loss of the card • Notification to administration, internal audit, and University police • Possible employment suspension or termination

29. Your Purchasing Card IS NOT Tied to Your Budget! It is the responsibility of the budget unit cardholder to verify sufficient funding exists in the specified budget and expenditure code PRIORto initiating the Purchasing Card transaction.

30. Important Dates • Billing Cycle 16ththrough the 15th of each month. • All statements and supporting documentation due in the Controller’s office not later than ten (10) business days after close of cycle. • Failure to submit documents in a timely manner will result in card suspension. • Statements not received with fifteen (15) business days may result in card cancellation.

31. Key Contacts Bank of America Report card lost or stolen: 1-888-449-2273 Larry K. Estess P-Card Administrator 318-342-5141 estess@ulm.edu Fax- 318-342-5218

32. Activating Your Card • Your card should already be activated when received • If you have any problems using your card contact P-Card Administrator

33. END OF YEAR NOTE !!! • The last day to use your P-Card for this fiscal year 2012 is May 11th. • No card activity will be allowed until July 1, 2012. • All cards will be suspended the close of business May 11th and will be reactivated on July 2012 (FY 13).

34. Summary • You understand how the process works • Agree to follow all policies & procedures • Retain all receipts and all documentation related to your purchase

35. Questions?