Southern Methodist University

Procurement Card Program

SMU P-Card Training Topics

Acquiring a pcardTransaction Limits

Three ProfilesDocumentation

TimelinessPcard Don’ts

Electronic Pcard Statements

Acquiring a Pcard

Cardholder must be permanent staff or faculty and have completed any probationary period

Card enrollment and agreement form must be filled out

o These forms can be found @ www.smu.edu/purchasing

o Agreement signed by the cardholder indicates that the pcard guide has been read and understood

The card will take 7-10 business days to arrive but can be rushed when necessary for a $25 fee

New cardholder will be required to pick up his/her card and sit through training

Transaction Limits

Transactions limits are assigned by the cardholder’s manager and/or financial officer

The maximum limit that can be assigned to a card is $5k per single transaction/ $25k per month

o Some individuals have been given higher limits where it was considered necessary

o These few exceptions were approved by VP of Business Finance

o Limits can be increased on a temporary basis when needed up to the maximum limits when approved by the applicable Financial Officer

o Temporary increases above the maximum limits may also be granted on a case by case basis when reviewed by Director of Purchasing for price reasonableness and approved by the VP of Business Finance

Three Profiles

SMU PurchasePlease know that with this profile assigned to the

card certain Merchant Category Codes are blocked. The card would be declined at Hotels,

Airlines, Car rental, etc.

Cardholder may purchase most products

Default is set to the cardholder’s most commonly used account-fund-org.

SMU TravelPlease know that with this profile assigned to the

card certain Merchant Category Codes are blocked. The card would be declined for Merchants such as Paypal, services performed on campus and other

purchases not needed during travel..

Cardholder may use card for business travel only

Card will be set to default to the traveler’s subclass

SMU ONE CARD Cardholder may use

card for both products and travel

Card will be set to default to the traveler’s subclass

Documentation Statement must have the original itemized receipt (even if Grant) for

EVERY purchase

Business Meals must be approved by President, Vice President, Dean or Designee and business purpose and attendees must be documented. Please be specific.

Gifts must be approved by President, Vice President or Dean (this policy does not allow for a designee) and reviewed by Tax Compliance for proper tax treatment. Recipient of gift must sign acknowledging receipt and provide W9 when necessary. The gift documentation form can be found on the Tax Compliance website

Donations must be approved by the President. The proper form must be filled out, attached to statement and a copy of the form sent to Millicent Grant. If the donation is made to a not for profit organization, the entry must be posted to subclass 11100.

Professional memberships must be approved by the President, Vice President or Dean (this policy does not allow for a designee).

Each statement must be signed by the cardholder and their independent reviewer.

Timeliness

Billing cycle is the 20th of the month through the 19th of the following month. If the 19th falls on a Saturday the closing date is moved to the 18th. If the 19th falls on a Sunday the closing date is moved to the 20th.

On close of business all individual account balances are rolled into the central bill account and individual limits are refreshed.

Statements are placed in the mail, addressed to cardholder’s Campus PO Box, the day after close.

Statements are due 15 days after receipt Email is sent to individual (in some cases FO or AFO) when

statement reaches 30 days outstanding Cards are subject to suspension when statement reaches 60

days outstanding Repeat offenders or cardholders with statements outstanding

90 days or more are subject to permanent cancellation.

Pcard Don’ts

Greeting cards or floral arrangements – see policy 3.10 and 13.5

Personal expenses - even if cardholder intends to reimburse the University

Gas for Personal Car

Texas Sales Tax- we have exemptions in other states as well. Those states as well as descriptions for the exemptions are found on the Tax Compliance website.

Interdepartmental Charges – anything purchased from another SMU department should be paid by means of an internal cross charge.

Splitting Transactions – A cardholder cannot allow a vendor to split one transaction into 2 or more transactions to stay within their single transaction limit.o If cardholder is caught splitting a transaction the card is

automatically suspended for 6 months.

Electronic Statements

o First pilot group will start in December

o Training classes

o Two classes will be held in December for the first pilot group

o Two classes will be held in January for the second pilot group

o Four classes per month will be held for the University beginning in February 2012.

o Go live date is scheduled for May 2012

o Demo of the process