1. TTUHSC PURCHASING CARD PROGRAM

2. Purpose of Presentation Program Overview Responsibilities of Cardholder Policies of Purchasing Card Program Recordkeeping Reviews

3. Program Overview Utilizes a MasterCard credit card Issued by the State of Texas Allows users to purchase directly from vendors Allows for single purchases up to $5000 and monthly card limit based on estimated usage Prohibits some items and merchants Transactions managed online with Pathway Net Requires Training

4. Personal Responsibility Proper use and protection of card Use only for official TTUHSC allowed purchases Keep in locked drawer or safe place Verify proper recording of transactions to Banner FOAPs Abuse results in disciplinary action Liable for unauthorized purchases Possible termination of employment No personal credit check

5. Personal Responsibility (Cont.) Report lost or stolen card immediately Inform JPMorgan MasterCard Hotline (800)890-0669 Inform TTUHSC Purchasing Card Coordinator Lindsey Myers (806)743-7826 ext 230 JPMorgan is 100% liable for fraudulent use after card is reported lost or stolen

6. Obtaining a Purchasing Card Complete Purchasing Card Application and Agreement Form http://www.fiscal.ttuhsc.edu/busserv/pcard/forms.aspx Complete required training module and questionnaire http://www.fiscal.ttuhsc.edu/busserv/pcard/ Return questionnaire to Payment Services, MS 6283 Contact Purchasing Card Program Coordinator for additional questions Lindsey Myers at lindsey.myers@ttuhsc.edu or (806)743- 7826, ext 230lindsey.myers@ttuhsc.edu

7. Upon Receipt of Purchasing Card Card must be activated See strip on card for instructions

8. Purchasing Guidelines Compliance State of Texas Policies http://www.fiscal.ttuhsc.edu/purchasing/manual/ TTUHSC Policies & Procedures HSC OP 72.15 Purchasing Card Program http://www.ttuhsc.edu/hsc/op/OP72/ HSC OP 72.03 Direct Pay Expenditures http://www.ttuhsc.edu/hsc/op/OP72/ HSC OP 72.01 Purchasing Supplies, Equipment & Services http://www.ttuhsc.edu/hsc/op/OP72/ Departmental Rules

9. Purchasing Card VS. Purchase Order Use Purchasing Card If item not available through a contracted supplier Office Supply, Medical Supply and Pharmaceutical purchases must have deviation approval from Purchasing before Purchasing item Allowed purchases of $5,000 or less Must use purchasing card Use Purchase Order Allowed purchases of greater than $5,000 If vendor does not accept purchasing card Contracts Summus/Staples – Office Supplies – Online Ordering & Automated PO Cardinal – Medical Supplies & Pharmaceuticals - Online Ordering & Automated PO Fisher – Lab Supplies – Online Ordering & Automated PO Dell – Computer Equipment

10. Allowed P-Card Purchases Supplies (If not available through a contracted supplier) Books & Subscriptions Conference Registration Flowers Must use P-Card Official TTUHSC functions Employee and immediate family only No substitution for this type of purchase Prohibited on state accounts

11. Allowed Purchases (Cont.) Food & Entertainment Must be documented by one of the following: Direct Pay http://directpay.texastech.eduhttp://directpay.texastech.edu Food & Entertainment Information Form http://www.fiscal.ttuhsc.edu/busserv/pcard/forms.aspx http://www.fiscal.ttuhsc.edu/busserv/pcard/forms.aspx Include Event ID or form in documentation Prohibited on state accounts

12. Allowed Purchases (Cont.) Hand Held Computer Devices, Books, Equipment, Supplies, etc. Items are property of TTUHSC An Ownership Certification Form is required that certifies that user has been informed that the item remains the property of TTUHSC should be attached as supporting documentation http://www.ttuhsc.edu/hsc/op/OP72/o p7203g.pdf http://www.ttuhsc.edu/hsc/op/OP72/o p7203g.pdf

13. Prohibited Purchases HSC OP 72.15 Purchasing Card Program Item 2.b. http://www.ttuhsc.edu/hsc/op/OP72/ Controlled Assets > $500 (Shipping included) At any cost – Hand guns, rifles, machine guns, etc. With a cost between $500 and $4,999.99 – Fax machines, sound systems, cameras, printers, TVs, video equipment, computers (including peripherals), etc. Consulting & Professional Services Temporary Personnel

14. Prohibited Purchases Lease or Rental of Space Office Supplies Required use of Institutional Suppliers Cellular Phones, Services & Air Time HSC OP 72.03 Direct Pay Expenditures http://www.ttuhsc.edu/hsc/op/OP72/ Computer Hardware, Peripherals & Software if total invoice >$500 Gifts, Donations, Contributions & Sponsorships

15. Prohibited Purchases (Cont.) Malpractice Insurance – School of Medicine For State Accounts Medical Supplies & Pharmaceuticals Required Use of Institutional Suppliers Medical Licenses for states other than the State of Texas Memberships Dues For State Accounts

16. Prohibited Purchases (Cont.) Awards and Prizes Internet Provider Services Patient/Study Participant PayPal Services Phone Cards Tech Express Cards Travel Related Purchases

17. Prohibited State Purchases Alcoholic Beverages Food and Entertainment Flowers Malpractice Insurance Promotional Items Membership Dues Funds 10XXXX, 11XXXX and 12XXXX

18. Prohibited Merchant Types Financial Institutions – Manual Cash Disbursements Furriers & Fur Shops Internet Service Providers - For offsite access while on travel status see page 9 of HSC OP 72.03 http://www.ttuhsc.edu/hsc/op/OP72/ Jewelry Stores Office Supply Stores Package Stores, Bars, Taverns & Night Clubs Travel Agencies, Hotels & Hotel Complex Restaurants, Airlines & Rental Car Agencies

19. Placing an Order with a P-Card Ordering Methods Telephone Fax Internet (Print screen for proof of purchase for documentation) Itemized Invoices Required Ask vendor for an itemized invoice Sales tax (State of Texas) on an invoice must be credited by the vendor or personally reimbursed to TTUHSC. Tax Exemption Forms are available at: http://www.fiscal.ttuhsc.edu/busserv/ap/collateral/Texas%20 Sales%20Tax%20Exempt%20Letter.pdf http://www.fiscal.ttuhsc.edu/busserv/ap/collateral/Texas%20 Sales%20Tax%20Exempt%20Letter.pdf

20. Placing an Order (Cont.) Departmental Reference Number Request vendor to use the form CCStop _ _ _ _ Last Name for the reference number CC means Credit Card Stop _ _ _ _ is the departmental mail stop Or RM _ _ _ _ for Amarillo, El Paso or Odessa Last Name is the credit card holders last name

21. Placing an Order (Cont.) Ship to Address TTUHSC ATTN: CCStop _ _ _ _ Last Name 3601 4 th Street, Stop _ _ _ _ Lubbock, Texas 79430 For Regional Centers Use Address and Room # instead of Stop #

22. Transaction Log http://www.fiscal.ttuhsc.edu/busserv/pcard/forms.aspx http://www.fiscal.ttuhsc.edu/busserv/pcard/forms.aspx Available, but not required If log is maintained - required information : Credit Card Number Card Holders Name Banner Default FOP Transaction Date Merchant Name Amount Must be entered in log in the same order as the Credit Card Statement Credits or returns must also be logged and included in documentation If Transaction Log is not used, each receipt or invoice must reflect the required information to support the purchase as a legitimate state expense

23. Supporting Documentation All forms of supporting documentation must be included Cash Register Receipts, Credit Card Receipts, Paid Invoices or Packing Slips Meeting Agenda and List of Attendees Food & Entertainment Attachment Credits and returns Screen Print of Internet Order

24. Supporting Documentation (Cont.) Required Information on Invoice or Receipt Last four numbers of the credit card Date Merchant Name Amount Sales Tax (If applicable) Tape small receipts on documentation form or blank sheet of paper Do not place tape on top of any of the above information

25. Additional Documentation Flowers If official function Date and time If illness or death Name of employee Name of employees immediate family member and relationship to employee

26. Additional Documentation (Cont.) Hazardous Materials Fill out the online Materials Ordering Form http://www.ttuhsc.edu/ad min/safety/ http://www.ttuhsc.edu/ad min/safety/ Attach approved form to documentation

27. Food and Entertainment Not allowed on State Funds Permitted on Local Funds unless restricted by account Must establish business purpose Proper documentation is required Must include an Event ID or Food & Entertainment Information Form

28. Food & Entertainment Documentation Follow IRS guidelines Documentation for: Amount Time, place and description of entertainment Business purpose and benefit to TTUHSC and the State of Texas Business relationship of person(s) entertained Name, title and occupation Include Event ID form from Direct Pay System

29. Missing Receipts Cardholder must attempt to get a copy of the original documentation If unsuccessful Three attempts to get copy must be documented Missing Receipts Form must be completed http://www.fiscal.ttuhsc.edu/busserv/pcard/forms.aspx Account Manager/Supervisor signature required Keep form with other documentation Missing receipts should be a rare occurrence and will be carefully scrutinized in reviews

30. Monthly Statement Bank sends statement to cardholder or cardholder can download from Pathway Net Lists all transactions Cardholder must verify that all transactions are legitimate Match each transaction on statement to your receipts Match credit card statement to your Cognos Operating Transaction reports Place receipts and any other required documentation behind your statement Receipts and required documentation must be in the same order as transactions appear on the credit card statement Statement must be signed by cardholder and account manager, supervisor or department administrator every month

31. Monthly Statement (Cont.) HSC Payment Services will pay the bill then the transactions will be expensed to your departmental account Transactions are reflected in your Cognos Operating Transaction reports Transaction ID - CHXXXXXX Transaction description – statement date, first six letters of the cardholders name and merchant name All transaction lines for each cardholder added together should equal the statement total

32. Adjustments Pathway Net http://www.fiscal.ttuhsc.edu/busserv/pcard/http://www.fiscal.ttuhsc.edu/busserv/pcard/ Re-allocate transactions for current month to Banner FOAP if different than defaults If you re-allocate a transaction, note the new information on the actual receipts for ease in transaction identification Transaction shows up in Pathway Net two to three business days after purchase Can avoid Cost Transfer if reallocated before statement close date Close date for statements to load to Banner is 10 - 14 calendar days after the fifth of the month following the purchases

33. Adjustments to a Prior Month Should be a rare occurrence due to the ability to re- allocate transactions in Pathway Net before statement close date Submit a Cost Transfer Form to Accounting Services MS 6274 for approval Account Manager signature is required Reference document number that recorded original transaction and attach a copy of the Cognos Operation Transactions report showing the expense Time limit of 60 days after original transaction

34. Disputed Items Call vendor first – resolve with them If item not resolved with vendor, call JPMorgan – they will set up a conference call to resolve the dispute (888)297-0768 If dispute is not resolved, flag the transaction in Pathway Net, complete and print the online form in Pathway Net and fax to JPMorgan (847)931-8861 and TTUHSC Payment Services (806)743-7826 File Dispute Form with your documentation for that month and notify your account manager

35. Purchasing Card Cancellation Cut card in half and return it to the Purchasing Card Coordinator Send a written card cancellation request to the Purchasing Card Coordinator

36. Terminated Employees Account Manager has the obligation to reclaim the card from the terminated employee Fraudulent charges incurred between employee termination date and card cancellation date do not have liability coverage Call Purchasing Card Coordinator within two days: Lindsey Myers (806)743-7826, ext 230 or email at lindsey.myers@ttuhsc.edulindsey.myers@ttuhsc.edu Card must be returned with the transaction documentation since the last review date to the Purchasing Card Coordinator

37. Record Keeping Simple system 3-Ring binder File Folder One binder or folder for each card identified by cardholder name or last four digits of the card Monthly tabs Statement Transaction Log if maintained Receipts, along with all supporting documentation, in same order as transactions on statement

38. Records Retention Period Standard Retention Period Current year plus 3 previous fiscal years Grant & Contract Accounts Life of Grant or Contract, plus 3 years Terminated employees Must be reviewed as soon as card is cancelled Standard retention period

39. Reviews and Spot Checks Spot Checks Previous days transactions reviewed daily Reviews Transactions Logs or required documentation Supporting invoices and receipts Required signatures on statements Compliance with policies and rules Report of Findings Emailed notice to cardholder Emailed notice to account manager if in noncompliance

40. Procurement Card Contacts Program Coordinator Lindsey Myers Email: lindsey.myers@ttuhsc.edulindsey.myers@ttuhsc.edu Phone: (806)743-7826, ext 230 Fax: (806)743-7847 MS: 6283 Director of Payment Services Celeste Kulinski Email: celeste.kulinski@ttuhsc.educeleste.kulinski@ttuhsc.edu Phone: (806)743-7826, ext 231

41. Procurement Card Contacts (Cont.) Director of Purchasing Don Sarchet Email: don.sarchet@ttuhsc.edudon.sarchet@ttuhsc.edu Phone: (806)743-2190 JPMorgan Customer Service Phone: (800)890-0669

42. Purchasing Card Application and Training Questionnaire Go to the Purchasing Card site and click on Forms http://www.fiscal.ttuhsc.edu/busserv/pcard/ http://www.fiscal.ttuhsc.edu/busserv/pcard/ Applications Select Purchasing Card Application and Agreement Print and complete the form including all cardholder information, default FOP and Account Manager signature Training Questionnaire: Select Purchasing Card Training Questionnaire Print and complete the quiz with signature on second page Completed forms should be mailed to Payment Services, MS 6283 All forms will be processed by the Program Coordinator If a card is requested it will be available in about two weeks