Purchasing Department

Oklahoma State University

PCARD RETRAINING

INTRODUCTION

• This training is required for all cardholders every two

years. If you have been notified by Pcard staff that it’s

time for retraining, you must review this online training.

• This session is also good for anyone who would like to

review the major points of pcard purchasing.

• Once you’ve completed this presentation, you’ll need to

complete a short quiz.

• The website address for pcard information is https://purchasing.okstate.edu. Click on the link to pcard.

• Information on this website:

• Application Forms, Change Forms, Deletion Forms.

• Pcard Guidelines.

• Conference Letter.

• Conflict of Interest Form.

• Pcard Cut Off Dates.

• Tax Exempt Certificate.

• Training Dates.

• Procurement Card Correction Request Form.

• Retroactive Cost Transfer.

WEBSITE

THE WORKS SYSTEM

• Signing off on transactions in Works.

• It’s very important for the cardholder, approver, and

accountant to sign off on transactions in the Works

system in a timely manner.

• The approver cannot sign off on a transaction until

the cardholder has signed off.

• The accountant cannot sign off on a transaction until

the cardholder and approver have signed off.

THE WORKS SYSTEM

• Anyone who doesn’t sign off on a transaction slows

the whole process down.

• Timely sign offs are something we check when we

conduct a compliance review.

• If the cardholder or approver do not sign off on a

transaction, the cardholder’s credit limit will not be

refreshed for that amount.

THE WORKS SYSTEM• The cardholder must enter an accurate description and business purpose of

the purchase.

• Avoid generic descriptions such as lab supplies or office supplies.

• Give enough detail that we know what you purchased, but not so much that

it’s cumbersome.

• Make sure you enter the account number in the correct format: 0 000000.

• Put a space between the chart and fund.

• NO DASHES.

PAPERWORK• There must be a receipt for every purchase.

• The receipt must include:

• Vendor name.

• Date.

• Itemized list of purchases.

• Itemized pricing.

• Total including shipping and handling.

• Credit card slips do not count as receipts!

• Any other required supporting documentation.

PAPERWORK• Cardholder obtains a valid receipt for each purchase.

• The cardholder keeps the receipts until the end of the billing

cycle (unless the department has different procedures in place.)

• At the end of the billing cycle, the cardholder prints off a Bank

Statement from the Payment Center website.

• The billing cycle begins on the 21st of the month and ends on

the 20th of the next month.

• If the 20th falls on a weekend or a holiday, the billing cycle ends

on the previous business day.

PAPERWORK• The Bank statement is not available until the billing cycle is

over.

• The cardholder reconciles the receipts with the Bank Statement.

• The receipts and Bank Statement are turned in to the

accountant at the end of the billing cycle.

• The accountant reviews the receipts and statement for

compliance with University and Pcard policy and procedures,

makes sure all required documentation is present, and

accounting information is correct.

PAPERWORK• If there are problems, the accountant notifies the cardholder

and, if necessary, the department head.

• If there is a violation of policy and procedure, Pcard staff should

be notified.

• After review, the accountant signs and dates the Bank

Statement.

• The original records are kept in a central location in the

department and must be available for review by Pcard staff.

CONFLICT OF INTEREST• A Conflict of Interest Form is filled out when a cardholder picks

up his/her card. This is kept on file with the pcard application.

• The cardholder will also need to fill out a new Conflict of Interest

Form by October 1 of each year. This form is kept on file in the

department and must be available for review by Pcard staff.

• The Pcard Administrator will send out a reminder each year

when these forms should be filled out.

RECORD RETENTION

• Original records must be kept 7 years.

• Before destroying original records, a written request must be

submitted to the University Archivist in the Edmon Low Library

or the Record Retention Officer.

• If grant accounts are involved, the department must also comply

with any additional retention policies required by the grant.

• Receipts may be imaged or uploaded into the Works in

compliance with University Policies and guidelines. Additional

information may be found in the Pcard Guidelines.

CARD LIMITS• Maximum limits on the pcard for faculty and staff are

$5,000/transaction and $50,000/month.

• The limits may be anything up to these amounts.

• The department decides what is appropriate for the cardholder’s

purchasing responsibilities.

• Monthly limits over $10,000 will require justification from the

department head.

CARD LIMITS• Student limits are $500/transaction and $2,500/month.

• If a student requires higher limits, the department head must

provide justification for the higher limits.

• Student cards are to be kept in a secure location and checked

out to the student when needed to make a purchase.

USING THE PCARD• The cardholder is the only person authorized to make purchases

with his/her pcard.

• Loaning the pcard or sharing the card number is a serious

violation of Pcard Guidelines.

• There should be no Oklahoma Sales Tax charged on purchases

made from Oklahoma vendors.

• There must be a valid receipt for each purchase.

USING THE PCARD• All shipping documentation or packing lists are part of the

required documentation for each purchase.

• When purchasing from the Internet, print the screens that show

the vendor’s name, date, a list of what was purchased with

itemized pricing, and the total including shipping. This can

serve as the receipt if the vendor does not provide one.

• Items purchased with University funds should be delivered to a

University address. Any exceptions must be approved prior to

purchase by submitting a Request for Exception-Goods/Items to

be Shipped to a Non-University Address Form through the

Associate Vice President and Controller’s Office.

USING THE PCARD• Work directly with the vendor if there is a problem with your

purchase.

• If a solution cannot be worked out, a Dispute Form can be filled out and submitted electronically through the Works system.

• Check the Works system or your Bank Statement to make sure expected credits are received.

• Back orders should not be charged to your card until the order is shipped.

• Partial shipments-your card should only be charged for the items actually shipped.

USING THE PCARD• If your card is denied, you may contact Bank of America at the

number on the back of your card to find out why the transaction

did not go through.

• An Authorization Log report may also be run through the Works

system to determine why the charge was denied.

• This report will show why a charge was denied as well as

transactions that have been approved but not yet posted to

the Works system.

USING THE PCARD

• All purchasing, regardless of dollar volume, should start

with a search of the OK Corral. The Corral contains

competitively bid contracts that exist to promote

efficiency in business transactions and provide cost

savings for all departments. This is a best practice and

board policy (30:10-1-2(8)) :When established

purchasing contracts exist, purchases must be made

from these contracts.”

INCENTIVES• At times, University purchases may result in cash or non-cash

incentives. The incentives from University purchases are the

property of the University and may not be used personally.

Examples of such incentives include, but are not limited to,

rebates, gift cards, two-for-one purchases, coupons, spend

rewards, and expendable or non-expendable supplies. Any

monetary, cash or non-cash incentive, or other type of reward

received as a result of an OSU purchase becomes the property

of the University and should be used for a University purpose. If

the incentive received does not serve a University purpose, the

department should not take advantage of the incentive.

PROHIBITED PURCHASESThese are items that are not allowed on the pcard.

• Split purchases – any purchase or combination of purchases that exceed

$5,000.

• Regular monthly payments > $5,000 per fiscal year, such as maintenance or

utilities.

• Oklahoma Sales Tax.

• Cash, cash advances, automated teller machine (ATM) transactions.

• Donations/Sponsorships.

• Gifts, gift cards, gift certificates.

PROHIBITED PURCHASES• Expenses for food and mileage while in travel status

• Per diem for food expenses and mileage may not be purchased with the

pcard, but may be claimed on a travel voucher.

• Items that do not serve a business purpose – flowers, candy, meals, cards,

health care items, etc.

• Personal purchases.

• Apple products (for the Stillwater campus only) – Apple products available

through the Student Union Bookstore must be purchased through the

Bookstore.

• Trade-in’s – must be processed on a requisition.

PROHIBITED PURCHASES• Conflict of Interest Transactions – may not purchase from yourself or

immediate family.

• Any purchase from a company owned by a University employee.

• Purchasing from University departments or auxiliaries – must be done

by CVI.

• Gasoline – use Wright express card in University vehicles. Do not put gas in

your own car. You may use the pcard to purchase fuel for grounds,

agricultural, or lab equipment.

• United States Postal Service – Mail, postage.

PROHIBITED PURCHASES

• Weapons and/or ammunition.

• Moving expenses.

• Service and/or incentive awards (or any items purchased for employees.)

• Late fees.

• Insurance.

• The tax exempt University pcard may not be used to make taxable

purchases for student organizations.

• Alcohol.

• Decorations.

PROHIBITED PURCHASES• Personal memberships in professional organizations.

• Prepayments or deposits.

• Salary/Wages and/or Benefits.

• Other purchases not permitted under OSU Policies and Procedures,

Purchasing Policies, and State Statutes.

RESTRICTED PURCHASESThese purchases may be made only when specific requirements/conditions are met.

• Food – Food may only be purchased:

• For food service or food sales areas (i.e. University Dining Services, Ranchers Club),

• When specifically included in a Ledger 5 grant or contract budget and approved by a sponsoring agency,

• When required for an instructional and/or research purpose,

• When participants pay a fee and the documentation specifically indicates the fee will cover the food/meal, or

• When all conditions of the Office of State Finance’s Policy on the Payment for the Purchase of Refreshments are met.

RESTRICTED PURCHASESFood continued:

• MEETING REFRESHMENTS – OSF Policy

Light food and drink items (e.g., doughnuts, cake, coffee, tea, soft drink, etc.) used as refreshments and required in connection with meetings or similar type activities held/conducted for and in the interest of the general public. May also include related service items (e.g., disposable plates/flatware, stirrers, sweeteners, etc.).

NOTE: Meetings as used in this definition do not include those activities and functions related to or associated with the day-to-day internal operations of an agency (e.g., staff meetings, staff retreats, employee training sessions/seminars, etc.). Inappropriate purchases of coffee and other refreshments outside of the “Refreshment Policy” listed above could be considered purchase of gifts under prohibited acts.

RESTRICTED PURCHASES• Travel Expenses

• Including airfare, baggage fees, lodging, parking, ground transportation, out-of-state car rental, etc.-Compliance with all University and State travel policies and procedures is required. Allowable travel expenses, such as food and mileage, not permitted on the pcard may be submitted on a travel voucher.

• Items purchased for resale – must hold a sales tax permit to purchase items for resale.

• Conference and training expenses – for events conducted by the University.

• Purchase of Clothing and/or Uniforms for Employees – a Clothing and/or Uniforms to be Provided to Employees – Request for Determination of Taxability Form must be completed by the department and kept on file in the department.

RESTRICTED PURCHASES• Institutional memberships.

• A data plan may be purchased for a University owned iPad.

• Equipment/fixed assets – “high profile” items as described by Budget and

Asset Management must be reported to that office to be inventoried.

• Purchases on grants and contracts – any purchase charged to a grant or

contract must be allowable on the pcard as well as on the grant or contract.

• Subscriptions – only one year subscriptions are allowed.

• Student organizations may participate in the pcard program as long as all

compliance requirements are met.

RESTRICTED PURCHASES• Conference Registration – The pcard may be used to pay for conference

registration at the time of the conference or after the conference has taken place.

Conference registration may be prepaid / paid in advance if the following three (3)

criteria are met and documented.

• There is a discount for early registration.

• If the registered participant cannot attend, someone else may attend in his/her

place.

• If the conference is cancelled, OSU will receive a 100% refund.

PAYPAL PURCHASES• PayPal may be used for specific types of purchases:

• Advertising, i.e. for University events, programs or job postings, usually in

industry publications or newspapers.

• Booth Rental.

• Conference Registration.

• Institutional memberships in professional organizations.

• Manuscripts/Abstracts/Grants-any fees or costs associated with publication,

submission, editing, printing, etc.

• Software Licenses or Subscriptions

• Student Study Abroad Group Travel-admission fees, tickets, transportation, etc.

PAYPAL PURCHASES

• PayPal may only be used for other transactions which

cannot be purchased on a contract through OK Corral,

and for which no other method of payment is available.

• Documentation must be kept with the receipt showing

PayPal is the only method of payment accepted, i.e. an

email from the vendor stating this fact would be

acceptable.

TRAVEL EXPENSES

• All travel purchases must comply with

OSU Travel Policies and Procedures,

and the State Travel Reimbursement

Act.

AIRFARE AND BAGGAGE FEES• An Out-of-State Travel Request must be completed and approved prior to the

purchase of airfare.

• The pcard may be used to purchase airfare through the FCm travel portal

• If the travel portal is not used, a quote for the lowest fare from the FCm travel

portal must be printed. Attach the quote to the travel voucher to verify the

airfare purchased elsewhere was a lower price than could be obtained

through the travel portal.

• Baggage fees may be paid with the pcard, not to exceed the approved

number of bags per travel rules. No overweight, extra baggage, etc. is

permitted.

LODGING• If traveling out of state, an Out-of-State Travel Request must be completed

and approved prior to the purchase of lodging.

• If required, one night’s stay may be charged to the pcard in advance.

• A refund cancellation policy must be in place in order to pay one night’s

deposit in advance.

• The room rate must be supported by:

• Documentation verifying the designated lodging site and room rate OR

• Printed documentation of the Federal lodging rates for city and/or county.

• No taxes should be paid on in-state lodging, including, but not limited to,

sales tax, occupancy tax, entertainment tax, city tax, etc.

OTHER TRAVEL EXPENSES• All other travel expenses, including parking, ground transportation, out-of-

state car rental, etc. must be supported by an itemized receipt.

• Rental cars may not be purchased for in-state travel.

• The pcard may not be used for rental cars if the trip includes both business

and personal travel.

• Per diem (meals/food) and mileage are not permitted on the pcard.

• Allowable travel expenses not permitted on the pcard may be submitted on a

travel voucher for reimbursement

STUDENT ORGANIZATIONS• Student organizations may participate in the pcard program.

• Only the advisor, president and/or treasurer are eligible for a pcard.

• The advisor must attend training whether or not s/he obtains a pcard.

• Student organization purchases are taxable.

• Student organizations must comply with all record keeping requirements.

• Student cards must be kept in a secure location and checked out to the

student for use.

• Alcohol may not be purchased.

• Student organization pcards may be used to purchase supplies, food,

student travel, and other expenses as needed by the organization.

LOST OR STOLEN CARDS• Contact Bank of America immediately if your pcard is lost or

stolen.

• Inside the United States, call 888-449-2273.

• Outside the United States, call 509-353-6656.

• The bank will cancel your card and send you a replacement

card.

• If the card has been used fraudulently, the cardholder may need

to sign an affidavit.

RETURNING PCARDS• Cards are the property of OSU.

• The card must be turned in to the department upon the

cardholder’s termination, transfer or retirement, or at the request

of Administration.

• When a card is cancelled, the department must reclaim the card

and process a Deletion Form through the Purchasing

Department.

COMMON PCARD VIOLATIONS• Incomplete or missing receipts.

• Bank Statements not signed or dated.

• Travel violations.

• Personal purchases.

• Incorrect subcodes.

• Taxable and non-taxable purchases made on the same card.

• Food.

• Awards for employees.

• Decorations/greeting cards.

For additional, detailed information please see the

Purchasing Card Guidelines at:

https://purchasing.okstate.edu