1. Putting Together a p-Card System for My School District
Procurement Cards – p-Cards – have existed in the private and public sectors for many years. They represent an evolution of the credit card brought about by applying new technology to an emerging e-commerce world that now includes schools.
The purpose of this presentation is to provide information about a unique p-Card application created to maximize the benefits for schools and potentially also help Associations. These purposes are specifically:
To describe how p-Cards operate in today’s environment to improve the efficiency and effectiveness of the school business office and schools as they go about acquiring products and services needed to support teachers teaching and students learning.
The unique nature of a multi-state program created by Illinois ASBO will be explained and the advantages of the economy of scale such a system provides will be explained.
The basic steps for schools to participate will be outlined, and,
The process for local school district implementation and monitoring of card usage will be illustrated.

2. Preparing for implementation and day-today operation of the p-Card system

3. When it is time to purchase products and services for your schools it isn’t always about what you are buying, when, from whom or the quantity. Much of the efficiency in procurement is about HOW you pay for what you are buying.

4. Remember p-Cards are about PAYMENT i. e
Remember p-Cards are about PAYMENT i.e. Changing how the school district pays its bills

5. This presentation will provide some ideas and details on implementing day-to-day operating procedures. THERE IS NO ONE PERFECT WAY TO DO THIS. WHAT WORKS FOR YOU SHOULD BE YOUR GUIDE.

6. A
Let’s start with some basic administrative structure-WHO First, someone needs to be the ONE in charge. Select a p-Card Administrator and 1- 2 Assistant Administrators, as soon as possible and bring them along from day 1.

7. As a matter of good internal controls these p-Card Administrators WILL NOT HAVE CARDS THEMSELVES since they will have the knowledge and ability to set up card limits and change them as well.

8. In most cases, p-Card Administrator duties can be assigned to personnel already in the Account Payable Department and be supervised and report to the school business manager or superintendent (in small districts)

9. Generally the p-Card Administrator will:
Receive, review and implement the “Client Implementation Guide” they will receive from BMO/Harris
They will prepare for initial training and after such training they will continue to be involved in future training opportunities (weekly Webinars)
Process all new authorized card accounts requests

10. Order cards
Receive cards (All new, replacement and renewed cards)
Distribute cards and train card holders
Process card cancellations
Process account limit changes
Process account name and address changes

11. Keep each card account information current:
What can be purchased
Monthly spend limit
Transaction time
Vendor limitation

12. Create and monitor special authorization controls:
Foreign transactions
One time new vendor approval
One time bump up in spending

13. While all of this sounds complicated and overwhelming it is all accomplished with free Webinar training from BMO/Harris and help desk at Illinois ASBO

14. B
Plan your “distribution of cards system”

15. Materials needed: P-Card User Agreement form (see samples on Website)
Cardholder Procedure Manual
Receipt folder and deadline dates
Date to print out statements – 6th or 21st of month
Date receipts and reconciliation due in Business Office

16. User Agreement Form -highlights
Sign
Received handbook
Agree to abide by all policy and procedure in the p-Card Handbook
No personal use
Not transferable
Lost or stolen card

17. When preparing your districts p-Cardholder Procedural Manual:
Make sure it adheres to your state laws
Your State Board of Education rules and regulations
Meets current local policies and procedure and
Complies with negotiated personnel contracts

18. Set Up visibility hierarchy

19. Who needs to “see” what? The card holder The card holder’s supervisor
Principal
District office personnel

20. Who really needs to know? Who should get cards initially? 80/20
Keep it SIMPLE!
Who really needs to know? Who should get cards initially? 80/20

21. Keep in Mind
58-60% of non payroll checks written each month are for less than $500

22. p-Card program goal = to eliminate and/or consolidate as many of your small transactions into one payment as possible (Check or ACH)

23. Set up a pilot school/department for 2 -3 billing cycles.
Keep things simple while you learn the basics of the system
Piloting the system will give you time to identify “bumps in the road” not anticipated, giving time to identify problems, develop and implement solution
Creates time for input from initial card users

24. Schedule your p-Card Administrators’ session with BMO/Harris

25. Order cards (7-10 business days)

26. Purchasing Card Program – Cardholder Procedure Manual
Table of Contents P-Card Administrator contact information Code of Conduct

27. 1.Purchasing guidelines and limits
Allowable purchases
Prohibited purchases
Sales Tax
How you can use the p-Card:
Telephone orders
Fax/mail order
Online purchases
Over the counter

28. 2.Record keeping/Reconciliation
Reconciliation prior to submitting to Supervisor
Monthly reports
Examples of receipt documentation
3.Billing and Payment Schedule
Key dates

29. 4.Disputed Transactions
Disputes
Returned Merchandise
Key dates
5.Account Management
Personal information updates
Helpful hints for returns, damaged goods, etc…

30. 9.Card holder set up and activation
6.Travel
7.Auditor
Violations
8.Lost or stolen cards
Card security tips
Important contact information
9.Card holder set up and activation
10.General summary and important reminders

31. Attachment and Forms
P-Card User Agreement
Statement of Authority
Tax Exempt Letter
P-Card Summary Form
Missing Receipt Form
Statement Dispute Form
Account Maintenance Form

32. Other Ideas: Quarterly Card Holder Roster Card Check Out Log
Application to Receive p-Card

33. Monthly:
prepare a sign off sheet for SBM and Superintendent that shows WHO have been given cards during the month
Name, school, department, credit limit, other.

34. Quarterly:
Prepare an up dated roster of ALL card holders and their monthly credit limit. Compare total potential use against contracted credit limit with BMO/Harris. This will help you know if the contract needs to be adjusted higher to avoid cards being declined

35. Make an annual report to Board of Education – when rebate check arrives Include: #POs #of checks $Rebate Show decline of POs and checks year to year.

36. Rebate/ADM ratio Purchase Order – Number used year before p-Cards Non payroll checks – number written year before p-Cards Other

37. In summary: Select your p-Card Administrators Get them trained
Determine who will be able to view p-Card activities 24/7
Determine who will get cards initially and set parameters for each card

38. Prepare “handbook”
Order cards
Distribute cards
Monitor use
Talk to users
Get their input

39. If you have questions or problems: Call or email Holly Wallace (815) 753-9083 hwallace@iasbo.org

40. Putting Together a p-Card System for My School District
2014
Procurement Cards – p-Cards – have existed in the private and public sectors for many years. They represent an evolution of the credit card brought about by applying new technology to an emerging e-commerce world that now includes schools.
The purpose of this presentation is to provide information about a unique p-Card application created to maximize the benefits for schools and potentially also help Associations. These purposes are specifically:
To describe how p-Cards operate in today’s environment to improve the efficiency and effectiveness of the school business office and schools as they go about acquiring products and services needed to support teachers teaching and students learning.
The unique nature of a multi-state program created by Illinois ASBO will be explained and the advantages of the economy of scale such a system provides will be explained.
The basic steps for schools to participate will be outlined, and,
The process for local school district implementation and monitoring of card usage will be illustrated.