USDA Purchase Card Coordinators Procedures Training Review of Coordinator’s Purchase Card Program Guide

1. USDA Purchase Card Coordinators Procedures Training Review of Coordinator’s Purchase Card Program Guide 2009 GSA SmartPay® Conference Wednesday July 29, 2009 9:30-10:40am Room North 231 A-C, Phoenix Convention Center

2. Discussion Topics • Management and Oversight • APC Annual Program Reviews • LAPC Quarterly Reviews • AO Reviews • File Management • Program Operation • Cardholder Nomination Process • Alternate AO • Convenience Check Annual Waiver Request Process

3. Discussion Topics • Program Operation continued … • Convenience Check Process • Approval/Final Approval Process • Independent Receipt and Acceptance • Suspension Procedures for Nonpayment • Administrative Actions • Program Support • Guides and Reference Materials • Questions

4. Program Management • Management and Oversight • APC Annual Program Reviews • Conduct at close of each fiscal year • Utilize APC Annual Review Checklist (Exhibit 11) • Summarize report findings from LAPC Reviews • Submit to DPM by Jan 30 of each year

5. Program Management • LAPC Reviews • Random quarterly physical reviews of cardholder transaction files • Use LAPC Quarterly Review Checklist (Exhibit 10) • Submit reviews to APC in accordance with review schedule • AO Reviews • Physical review of cardholder transaction documentation on a monthly basis during final approval process • Use Approving Official Checklist (Exhibit 9)

6. Program Management • File Management • LAPC Files • Maintained by APC • Includes LAPC designation letter, completed training certificates • Cardholder Files • Maintained by LAPC • Includes Cardholder Request for Purchase Card, completed training certificates for cardholder and AO, requests for changes in demographic information, spending limit changes • Card Transaction Files • Maintained by cardholder • Includes documentation to support purchases

7. Program Operation • Cardholder Nomination Process • Nominated by AO • Complete Cardholder Request for Purchase Card Set-Up Form with completed web-based system and policy certificates by cardholder and AO • Alternate AO • Supervisor-of-record remains accountable for purchase card transaction activity • Must meet the following 3 criteria: • Same or higher grade than purchase card holder • Same program or regional/area/office as cardholder • Satisfy mandatory AO training requirements • Submit Approving Official Appointment Request Form

8. Program Operation • Convenience Check Annual Waiver Request Process • Annual Waiver Authority • Conduct review of transactions paid by convenience check under $2,500 • Determine if there are any alternative payment methods for categories of transactions paid by convenience check • No alternative payment method – estimate the dollar value needed • Annual waiver authority does not extend to purchases over $2,500

9. Program Operation • Convenience Check Annual Waiver Request Process Continued… • Submit decision memorandum signed by agency head to Director of OPPM by June 15 each year and include: • Categories of transactions for which the waiver is needed • Actions taken to find alternative sources that can either accept the purchase card or other payments • Identify payment methods that were unsuccessful • Why there is no other way to pay unless by convenience check

10. Program Operation • Convenience Check Annual Waiver Request Process Continued … • Waivers for Exigencies • Unforeseen emergency • Submit request to Director, OPPM • Must address 6 criterion in Appendix A (DR 5013-6) • Checks can be used on an interim basis until notice is received to either approve or deny

11. Program Operation • Convenience Check Annual Waiver Request Process Continued … • Revocation of Waivers • Use of checks for purposes not authorized by waiver • Use of checks in excess of waiver limit • Failure to approve check transactions • Failure to safeguard checks • Failure to comply with DR 5013-6 • Failure to comply with agency internal control procedures

12. Program Operation • Convenience Check Process • Verify that the merchant does not accept the commercial Government issued purchase card.  • Ensure merchant completes the W-9 Form.  • Indicate the applicable electronic funds transfer waiver code number for the associated purchase.  • Insert the Merchant Name, Merchant Address, Merchant City, Merchant State, Merchant Zip Code, and waiver code number in the block designated as “Comments Field 3”. • Insert the TIN/EIN in the first 9 positions of the block designated as “TIN” in Access Online when approving the transaction.  DO NOT enter dashes or additional characters in the TIN/EIN.  • Enter the correct BOCC. • Attach all documents to the requisition and retain on file for 3 years after payment.

13. Program Operation • Approval/Final Approval Process • Cardholders approve transactions in AXOL and forward transaction documentation to AO for final approval. • AOs final approve transactions by reviewing documentation submitted by cardholders and using the AO Review Checklist to ensure compliance.

14. Program Operation • Prior Authorization • Cardholder obtains authorization before making purchase. • Authorization can be in the form of procurement request, email request with all pertinent accounting information, blanket authorization for fiscal year. • Independent Receipt and Acceptance • Pertains to transactions over $300. • Signature of someone other than the cardholder along with date the goods/services received on the receipts.

15. Program Operation • Suspension Procedures for Nonpayment • Each transaction in AXOL is an invoice • Valid DACs are to be loaded in AXOL • Cards will be suspended 61 days from the cycle date • Account will be canceled 125 days from cycle date • Administrative Actions • APC/LAPC applies administrative action • Supervisor-of-record applies disciplinary action • Refer to Section 9 and Exhibit 13 in Coordinator’s Purchase Card Guide

16. Program Support • Who to Call • APCs • Policy Issues –DPM/CCSC • System Defect Issues – Bank • LAPCs • Policy Issues – APC • System Defect Issues – Bank • Cardholders • Policy Issues – LAPC • System Defect Issues - Bank • AOs • Policy Issues – LAPC • System Defect Issues - Bank

17. Guides and Reference Materials • Guides and Reference Materials • Coordinator • Coordinator’s Purchase Card Program Guide • AXOL Quick Guide for Coordinator’s Purchase Card Program Guide • USDA User Profile Guidance – Step-by-Step Instructions for Creating/Modifying Coordinators & Approving Officials Information • Cardholder • Cardholder Access® Online (AXOL) Quick Guide for Approving Purchase Card/Alternative Payments Transactions • Cardholder Guidelines for Approving and Re-allocating Transactions in Access® Online • Cardholder’s Purchase Card Program Guide

18. Guides and Reference Materials • Approving Official • Approving Official’s Purchase Card Program Guide • Quick Guide to Proper Use of the Card and Convenience Checks for Approving Officials • Approving Official Guidelines for Final Approving Transactions in Access® Online • General • Purchase Card Locked Transaction Scenarios & GL Extract in AXOL • Quick Guide to Proper use of the Purchase Card and Alternative Payment Methods Website for documents: http://www.da.usda.gov/procurement/ccsc/purchase_card.htm

19. Questions

20. Additional information on the Charge Card Service Center including News, Notices, POC Lists, Guides & Reference Material, Training Information, etc… can be accessed at http://www.da.usda.gov/procurement/ccsc/.