Bloomfield School District PURCHASING CARD PROGRAM Policies and Procedures (Cardholder Manual) Effective September 1, 2004 Revised August 1, 2011  

Introduction The Purchasing Card is a Visa credit tool issued by Bank of America. It is a fast, flexible new purchasing tool which offers an alternative to the existing purchaser order process(es). and provides an extremely efficient and effective method for purchasing and paying for small dollar items The card is to be used only for official purchases; in compliance with the NM Administrative Code The Purchasing Card will enable you to purchase non-restricted commodities, by telephone or in person, directly from the vendors The Purchasing cards are NOT intended to circumvent the appropriate purchasing, approval or payment process The Purchasing Card will either be issued in the employee’s name and “Bloomfield Schools” clearly indicated on the card or issued to a District employee on an as needed basis, so long as a valid purchase order is in place with requisite approvals

Benefits of the Purchasing Card The Purchasing Card program brings many benefits to: Cardholders You will be able to obtain supplies directly from your vendors You will be required to use a purchase order for all Purchasing Card transactions   Bloomfield Schools - The Purchasing Card program provides an cost-efficient, alternative method for purchasing supplies while maintaining good internal controls within the District. Vendors The Purchasing Card will be welcomed by vendors who accept VISA When they accept the card for business purchases, vendors do not need to send invoices to Bloomfield Schools, and they will receive payment directly from Bank of America within 48 hours

PARTIES INVOLVED Card Issuer – Bloomfield School District – Bank of America’s issues Visa Purchasing Cards to Bloomfield Schools employees Billing the Bloomfield Schools for all purchases made on the cards  Bloomfield School District – Arranges with Bank of America to have Purchasing Cards issued to approved employees Agrees to accept liability for the employees’ use of the cards  Purchasing Card Administrator – The central Administrator located in Bloomfield Schools Business Office who coordinates the Purchasing Card program  Cardholder – An employee of Bloomfield Schools Approved by his/her supervisor and by either the Accounts Payable Clerk, Operations Manager or Finance and Operations Director to use the Purchasing Card  Vendor – The merchant from whom a Cardholder is making a purchase

Cardholder Eligibility Applicant must be an employee of Bloomfield Schools Applicant’s request for a Purchasing Card must be approved by his/her supervisor and either the Accounts Payable Clerk, Operations Manager or Finance and Operations Director Employee must attend a training session before he/she may be issued a Purchasing Card  

Cardholder Eligibility – Continued Each individual Cardholder must sign Cardholder Agreement Authorization to Collect for Unauthorized Expenditure Form With the Purchasing Card Administrator present Authorization to Collect for Unauthorized Expenditure Form - The form must be notarized

CARDHOLDER RESPONSIBILITIES Use the card for legitimate business purposes only Keep the Card in a secure location at all times Not allow other individuals to use their Purchasing Card Prior to making any Purchasing Card transactions/purchases, obtain a properly authorized purchase order for any and all Purchasing Card transactions The purchase order must be detailed and contain sufficient information to make a determination about the need for the purchase Vague or blanket purchase orders are not acceptable and will not be approved Adhere to the purchase limits and restrictions of the Purchasing Card Obtain and reconcile all itemized sales slips Purchasers who cannot produce original receipts may be liable for charges incurred

CARDHOLDER RESPONSIBILITIES - Continued For Local Store Purchases Receipts must be signed by an employee other than the purchaser who verified that the items were received by the District. Attempt to resolve disputes or billing errors directly with the vendor Ensure that an appropriate credit for the reported disputed item or billing error appears on a subsequent Cardholder statement. Not accept cash in lieu of a credit to the Purchasing Card account. Immediately report a lost or stolen card to Bank of America Immediately notify the Business Office of a lost or stolen Purchasing Card - during normal business hours Return the Purchasing Card to the Business Office upon terminating employment or transferring Departments Report erroneous transactions to the Business Office during normal business hours

PURCHASING CARD ADMINISTRATOR RESPONSIBILITIES Act as liaison with Bank of America Review Department approved applications for completeness Submit completed application to Bank of America Receive Purchasing Card from Bank of America Train Cardholder before releasing Purchasing Card Assure all necessary forms are signed and/or notarized Handle disputed charges/discrepancies not resolved by Cardholder

PURCHASING CARD ADMINISTRATOR RESPONSIBILITIES - Continued Collect revoked Purchasing Cards Receive and review monthly bill Distributing monthly reports to Cardholders Reconcile Bank of America’s bill to Bank of America’s electronic file and to the transaction totals posted to the Bloomfield Schools accounting system Review usage of Purchasing Card data for appropriateness Ensure that lost stolen cards have been blocked by Bank of America Forward vendor set up requests to Bank of America

Requirements for Receiving a Purchasing Card Before receiving a Purchasing Card, you are required to: Complete the Credit Card use training Sign Bloomfield Schools Purchasing Card Cardholder Agreement (Attachment 1) Sign the Authorization to Collect for Unauthorized Expenditure Form (Attachment 2) must be notarized By signing these agreements, you indicate that you understand the intent of the program, You will comply with all guidelines of this Manual And you will adhere to District Policies and Procedures relating to the expenditure of district funds  

Requirements for Receiving a Purchasing Card - Continued For persons checking out a Purchasing Card – because a card is not issued to them personally: Applicant must fill out the Request for Credit Card form Return it to the budget manager’s secretary The secretary uses the Credit Card Request information to generate a Purchase Requisition Submit all forms to the Business Office two business days prior to date needed The Business Office generates a Purchase Order The credit card will be activated and ready for the applicant to pick up after … All documents have been verified and training requirements are met Return the Credit Card and itemized receipts to the Business Office within 24 hours of final use

Acceptable Purchasing Card Purchases Examples of purchases that are appropriate for the purchasing card: In and out of state travel, conference expenses, meals Note: All meal charges MUST be accompanied by an itemized and detailed receipt from the food establishment or the charge WILL NOT be paid by Bloomfield Schools Approved supplies for your building, department or program Conference and seminar registrations Craft supplies Books and items from book stores

Acceptable Purchasing Card Purchases - Continued Instructional games and toys Federal Express, United Parcel Service, United States Postal Services expenses Other miscellaneous items that apply to your budget Hardware stores Discount stores Gift certificates or gift cards – Note: all gift cards/certificates must be accounted for – please have recipients/students sign for receipt of gift card or certificate   This list is not intended to be all inclusive. If you have specific questions, please call the Business Office Manager for assistance

Unacceptable Purchasing Card Purchases The following items are examples of purchases that are inappropriate for the purchasing card: Alcoholic beverages Tobacco Lottery Tickets Cash Advances ATM withdrawals Any personal purpose The purchasing card cannot be used to pay consultants This list is not intended to be all inclusive. If you have specific questions, please call the Business Office for assistance.  

Purchasing Card Closure The Purchasing Card Administrator is required to close an account if a Cardholder: (a) transfers to a different department (b) moves to a new job in which a Purchasing Card is not required (c) terminates employment or (d) for any of the following reasons which will also subject Cardholder to disciplinary action in accordance with Bloomfield Schools Policies and Procedures relating to disciplinary action and termination for cause: The Purchasing Card is used for personal or unauthorized purposes The Purchasing Card is used to purchase alcoholic beverages or any substance, material, or service which violates policy, law or regulation The Cardholder allows the card to be used by another individual The Cardholder splits a purchase to circumvent the limitations of the Purchasing Card

Purchasing Card Closure - Continued The Cardholder uses another Cardholder’s card to circumvent the purchase limit assigned to either Cardholder or the limitations of the Purchasing Card The Cardholder fails to provide the Business Office with required receipts The Cardholder fails to provide, when requested, information about any specific purchase The Cardholder does not adhere to all of the Purchasing Card policies and procedures The Cardholder makes a purchase without a valid purchase order A request for closing a Cardholder account will be submitted to Bank of America by the Purchasing Card Administrator If a plastic card exists for the Purchasing Card account being closed, you should return it to the Business Office immediately.

Cardholder Liability The Purchasing Card is a corporate charge card and will not affect your personal credit It is your responsibility to ensure that the card is used within stated guidelines of this Manual Failure to comply with program guidelines may result in: Permanent revocation of the card Notification of the situation to management – and Disciplinary action in accordance with District Policies And Procedures relating to disciplinary action and termination for cause – and Recoupment of any costs associated with unauthorized purchases by the cardholder