Procard Program Operational Guideline Procard/Travel Card Administration (PTCA) July 25, 2012

2 Procard/Travel Card Administration (PTCA)  Effective January 2, 2012  The Procard Office began operating under Financial Affairs reporting to the Controller's Office  Relocated to University Heights (UH Tech2) Address: 5723 University Heights Blvd Suite 500, Dept San Antonio, TX  The new office, PTCA administers the State of Texas contracted Citibank credit card program

3 PTCA Staff Contact information –Lisa Bixenman Credit Card Program Manager Phone: –Anne Jackson Procard Specialist Phone: Fax: PTCA website : Procard/Travel Card Administration (PTCA)

Procard Program Operational Guideline  Published June 19, 2012  Effective August 20, 2012

Purpose  To provide guidance on how to obtain, use and account for expenditures using a Citibank® issued Procurement Card (Procard).  This guideline applies to all authorized UTSA Procard users and departmental administrators involved in this process.

 Texas Administrative Code (TAC) Title 34 Part 1, Chapter 5, Subchapter E, Rule 5.57 – Use of Payment Cards by State Agencies Texas Administrative Code (TAC) Title 34 Part 1, Chapter 5, Subchapter E, Rule 5.57 – Use of Payment Cards by State Agencies  Texas Government Code Title 10, Subtitle D - State Purchasing and General Services Texas Government Code Title 10, Subtitle D - State Purchasing and General Services  Citibank Charge Card Program: Card Security Controls and Restrictions (Texas Comptroller of Public Accounts) Citibank Charge Card Program: Card Security Controls and Restrictions (Texas Comptroller of Public Accounts)  Citibank Charge Card Program: Features and Benefits (Texas Comptroller of Public Accounts) Citibank Charge Card Program: Features and Benefits (Texas Comptroller of Public Accounts) Authority

 Administered by the Procard/Travel Card Administration (PTCA) OfficeProcard/Travel Card Administration (PTCA)  Single purchase limits are up to $5,000  Eliminates much of the paperwork and potential delays associated with larger purchases  Administrative costs are reduced  Citibank issues the UTSA Procard and provides billings  Does not affect the personal credit of the cardholder  Cardholder is personally liable for unauthorized purchases and any other inappropriate use Overview of the Procard

Cardholder Not allow anyone else to possess the Procard or use it to complete a purchase Never use the Procard to complete personal purchases, even if the cardholder plans to reimburse UTSA Adhere to the limits and restrictions of the Procardlimits and restrictions Secure the Procard while in their possession and/or store in secure location (locket file cabinet or desk) within their department Roles and Responsibilities

Cardholder (cont’d) Report suspected inappropriate or questionable use of the Procard to the PTCA Office Attend and complete the Procard Compliance (AM535) training class before receiving a Procard Attend the Procard Refresher Training (AM537) class every three years Roles and Responsibilities

Account Administrator or Designee Approve an applicant's request for a Procard  Designate the default account number responsible for payment  Assign Procard purchasing limits  Appoint a reviewer to complete the monthly Procard payment processmonthly Procard payment process Validate the appropriate usage of the Procard for official UTSA business Assure compliance with this FMOG when authorizing Procard payments Approve the monthly Procard payment Approve all Procard maintenance requests via the Card Maintenance Request (CMR) form Roles and Responsibilities

Reviewer Completes the monthly Procard payment process and is designated by DEFINE to receive the electronic payment voucher (VP7) in their Document In-Box (YB2). The account administrator or designee may appoint the cardholder to also act as the reviewer unless any of the following exist:  The cardholder is also the account administrator  The cardholder does not have access to DEFINE and therefore cannot update the VP7 Roles and Responsibilities

Procard/Travel Card Administration (PTCA) Provide training Issue Procards Maintain and update cardholder data Process overrides requested by the account administrator or designee for appropriate transactions Process credit and single purchasing limit requests and other changes. Reconcile Citibank charges with payments to Citibank and verify the payments posted correctly in the Citibank system Monitor card transactions and processing payments to Citibank Roles and Responsibilities

Single transaction limit = $5,000 (includes freight)  Account administrator or designee can set lower limit using the Procard Application and Agreement or Card Maintenance Request (CMR) FormProcard Application and AgreementCard Maintenance Request (CMR)  Purchases cannot be split over time, or between vendors, recipients, with the intent to circumvent the $5,000 single transaction limit Standard credit limit = $10,000  Account administrator or designee can set lower limit using the Procard Application and Agreement or Card Maintenance Request (CMR) Form  Requests for a credit limit over $10,000 must be approved by the account administrator or designee Procard Limits

Procard Restrictions  No purchase over $500 may be made from a vendor whose status is on hold with the State Comptroller's Office.  Cardholders must verify the vendor status via the Texas Identification Number System (TINS) – Vendor Hold Search website prior to completing a purchase. Texas Identification Number System (TINS) – Vendor Hold Search

Restricted Business AttorneyLiquor store Bank/ATM Professional and consultant/contracted service provider. Bar Restaurants (Special Event privileges only)Special Event privileges Caterer (Special Event privileges only)Special Event privileges Temporary labor agency Entertainment providerTransportation (taxi, limousine, etc.) Gas station Travel-related: Any business, including airlines, car rental, hotels/motels, travel agencies, etc. Hotel/Motel

Restricted Commodities Alcoholic beverages (Special Event privileges only)Special Event privileges Decorations (Special Event privileges only)Special Event privileges Leases Ammunition and weapons Electronic equipment over $500 including shipping Personal items AnimalsEquipment trade-in purchases Purchases that require a contract or include an auto- renew feature Cash advance and gift cards (including prepaid and declining balance cards) Entertainment (Special Event privileges only)Special Event privileges Radioactive materials Computer or telecommunication equipment over $500 including shipping Food (Special Event privileges only)Special Event privileges Social, entertainment, and recreational memberships. NOTE: Certain professional memberships are allowed. See FMOG – Memberships Paid by University Funds for details. FMOG – Memberships Paid by University Funds Consulting services Flowers (Special Event privileges only)Special Event privileges Social or charitable organization dues Controlled assetsGasolineTelephone Services (landline) Controlled prescription drugsGiftsTravel-related expenses Cylinder gases, liquid nitrogen Hazardous chemicals or materials NOTE: Additional approval required, contact the UTSA Office of Environmental Health, Safety, and Risk Management (EHSRM) for details. Office of Environmental Health, Safety, and Risk Management (EHSRM)

Special Event Priviledges  Special Event privileges are authorized to a limited number of Procards and allow the purchase of certain restricted businesses and commodities in support of business related hospitality.  A completed Business Expense Form (BEF) must be retained on file.

Special Events Priviledges  Complete the Special Event Privileges section of the Procard Application and Agreement Procard Application and Agreement  Approval is at the discretion of the Assistant Controller or Asst. VP/Controller  To add or remove Special Event privileges for existing Procards, complete a Card Maintenance Request (CMR).Card Maintenance Request  Should complete the Business Related Hospitality and Entertainment (AM553) training class prior to receiving Special Event privileges.

How to Complete a Purchase  Confirm the item to be purchased is allowed and if the Procard is the best payment method. Review the Procard limits and restrictions to verify that neither the business nor the item is restricted.limits and restrictions Determine whether a state or UTSA contract is available that is applicable to the purchase, or contact a Buyer in Purchasing.state or UTSA contractPurchasing Verify that the transaction including freight does not exceed the single transaction or credit limit.

How to Complete a Purchase  Select and engage the vendor For international vendor, you must The Office of Research Integrity and Compliance (ORIC) to ensure the vendor is not listed on a U.S. government restricted parties list. o NOTE: ORIC verification must be completed regardless of the dollar amount of the purchase. The response from ORIC must be attached to the other Procard supporting documentation.Procard supporting documentation  Online transactions ensure the vendor's website is encrypted, secure and does not store credit card numbers. Place the order  Provide shipping information and billing address (department address)

CitiManager Online System  Used to review transaction history and download the memo statement for the current period.  For more information, see the Self-Registration for Cardholders presentation, available on the PTCA – Training Materials web page.PTCA – Training Materials

Transaction Log & Electronic Payment Process  PTCA office reviews the Citibank summary billing statement for inappropriate purchases.  Cardholder completes the Procard Transaction Log and reconciles these transactions to the Citibank memo statement.  Cardholder signs the Procard Transaction Log, attaches the required documentation and submits it to the reviewer, to complete the electronic payment voucher in DEFINE.  PTCA office generates the Procard Payment Voucher (VP7) document and distributes charges for each Procard to the default account specified in the Procard Application and Agreement.

Transaction Log & Electronic Payment Process  PTCA office s the VP7 approval deadline to the account administrator of the unit associated with the default account and up to another five individuals who are identified as having security access to the electronic payment voucher process.  Reviewer reviews and signs the Procard Transaction Log and updates the object code before the VP7 is approved.  Account administrator or designee reviews and signs the Procard Transaction Log and reviews and approves the VP7.

 Failure by the account administrator or designee to approve the VP7 by the deadline may result in loss of Procard privileges for the cardholder and is reported to the Assistant Vice President, Financial Affairs/University Controller as non-compliant. Transaction Log & Electronic Payment Process

Procard Maintenance  The Card Maintenance Request (CMR) is used toCard Maintenance Request (CMR) request the following changes to an existing Procard: √ Single transaction and credit limit √ Default account number √ VP7 Reviewer/Electronic Desk Access √ Cardholder name changes √ Card cancelation √ Card replacement √ Temporary card activation or deactivation √ MCC/Vendor addition and deletion  Requests must be signed by the cardholder and authorized by account administrator or designee and submitted to the PTCA Office.PTCA Office

Canceling and Returning a Procard  The Procard may be cancelled for any of the following reasons: √ Cardholder no longer requires a Procard √ Cardholder has transferred to a different department √ Cardholder is no longer employed by UTSA √ Procard is damaged √ Inappropriate use of the Procard  The Procard must be cut in half and returned in person to the PTCA office or Fiscal Services (Main or Downtown campus) with a completed Card Maintenance Request (CMR).

 The PTCA office may also cancel a Procard if the cardholder: √ Uses or attempts to use the card for personal or unauthorized purposes √ Splits or attempts to split a purchase to circumvent Procard limits or restrictions limits or restrictions √ Fails to comply with this FMOG and any regulatory, statutory, specific grant, funding source, departmental or program requirements.  Notification to management, disciplinary measures up to and including termination of employment, and criminal prosecution. Canceling and Returning a Procard

Disputed Transactions  The cardholder must contact the vendor to dispute discrepancies on the memo statement for: √ Charges for items not received √ Incorrect pricing or duplicate billing  If the discrepancy is resolved verify that the correction has been completed when the next statement arrives

 If the discrepancy is not resolved: Call Citibank at Complete and submit a Citibank® Cardholder Dispute Form to Citibank within 60 days of the statement dateCitibank® Cardholder Dispute Form Retain a copy of the dispute form with the other Procard supporting documentation The Citibank Cardholder Dispute Form must be completed even if the vendor is still researching the transaction Disputed Transactions

 If fraudulent activity is suspected, the cardholder must: √ Call Citibank immediately at √ Provide Citibank with any supporting documentation requested √ Complete the Citibank Affidavit of Unauthorized Use FormCitibank Affidavit of Unauthorized Use Form √ Provide PTCA with the Citibank confirmation that the unauthorized user charges are being investigated.  PTCA will monitor account activity and provide guidance on the payment of valid charges Fraudulent Transactions

Required Documentation and Retention Documents must be retained for the current FY plus 5 FY’s and be readily available for audits and reviews and must be shredded before disposal.  An itemized sales receipt  Completed and signed Procard Transaction Log  Departmental controls documentation  Packing slips  ORIC approval (for international vendors only)  Copy of the related Memo Statement  Business Expense Form (BEF) if applicable  Copy of a completed Citibank Cardholder Dispute Form submitted to Citibank, if applicable

The cardholder's department is also responsible for establishing and documenting an appropriate departmental Procard control environment that addresses: Approvals Ajustments Record keeping Reporting Reconciliation Segregation of Procard Duties Supervision Required Documentation and Retention

Procard Compliance  The PTCA Office utilizes management controls, management reports, and compliance audits and reviews to help ensure the appropriate use of the card.  Procard activities and related controls are also subject to the requirements covered in FMOG - Monitoring Plan for Segregation of Duties and Reconciliation of Accounts.Monitoring Plan for Segregation of Duties and Reconciliation of Accounts

 Audits and Reviews √ PTCA Procard Audits √ Quality Assurance Review (QAR) √ DTS, OPAA, Audit, Compliance and Risk Services Reviews √ State, Federal and other audits Procard Compliance

Related Forms/Worksheets  Procard Application and Agreement Procard Application and Agreement  Card Maintenance Request (CMR) Card Maintenance Request (CMR)  Procard Transaction Log Procard Transaction Log  Citibank Affidavit of Unauthorized Use Citibank Affidavit of Unauthorized Use  Citibank Government Cards Cardholder Dispute Citibank Government Cards Cardholder Dispute  Business Expense Form (BEF) Business Expense Form (BEF)  Tax Exempt Certificate Tax Exempt Certificate

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