1. Northwest Regional Education Service District
P-Card New User Training
This training is designed for certification of Users to participate in the Procurement-Card program at NW Regional Education Service District.

2. P-Card Training Agenda
Introduction
Procurement Ethics
P-Card Purchasing Processes
P-Card Administration

3. Keep in mind
It’s about ethical purchasing practices, good record-keeping and timely signoff in Works…

4. What is a P-Card? P-Card = “Procurement Card”
A P-Card is a type of credit card with special administrative features that can be used by a business or government agency.

5. Why use Procurement Card?
The use of a P-Card is intended to
Promote efficiency in the procurement of goods and services
Provide a convenient method for obtaining goods and services
What is a P-Card:
A Mastercard issued by Bank of America to an individual, or a department for making purchases pursuant to all applicable Purchasing laws and regulations.
Purchases can be made in person, or via phone, fax, mail or internet.
Purchases of services up to $5,000 and goods and supplies up to $75,000.

6. Why Do You Need P-Card Training?
As a public employee, you will be responsible for upholding certain requirements:
Legal
Ethical
Procedural

7. Who is eligible to use Procurement Card?
Regular employees - with recommendation from their supervisor - who have successfully completed initial and periodic refresher training
Regular employees - identified as potential users by Fiscal Services - who have successfully completed initial and periodic refresher training
Currently, Multnomah ESD requires P-Card holders to take the refresher training every 18 months.

8. Who is NOT eligible to use Procurement Card?
Temporary employees
Outside contractors/consultants
Employees on extended leave such as FMLA, Medical, Disciplinary and other leaves of absence
Employees who have not successfully completed initial or periodic refresher training

9. Procurement Ethics

10. A Paradigm Shift YOU are now the government purchasing agent.
YOU become the focal point for justifying your actions.
YOU become the object of any media or legal attention as to any of your actions (along with NWRESD)

11. The GSPC Oregon’s Government Standards & Practices Commission
The “Ethics Commission”
Per Oregon State Law (ORS 244), the GSPC has jurisdiction over:
Use of public office for financial gain
Conflict of interest

12. GSPC & Public Officials
Definition of “Public Official”
ORS (15) defines a public official as “any person who… is serving the State of Oregon or any of its political subdivisions or any other public body of the state as an officer, employee, agent or otherwise, and irrespective of whether the person is compensated for such services.”
As an employee of NWRESD, you are a Public Official!

13. The Law & You
ORS (1)(a):
"No public official shall use or attempt to use official position or office to obtain financial gain or avoidance of financial detriment that would not otherwise be available but for the public official’s holding of the official position or office...“

14. Examples of Financial Gain or Avoidance of Financial Detriment
Frequent flyer miles
Free gift with purchase – classroom?
Free admissions – Due to your “position”
Waived fees – Due to your “position”
Store Credit
All goods/services/benefits associated/received with P-Card purchase belong to NWRESD.

15. ORS 244.020: Conflict of Interest
Before taking an official action, a public official should first: determine if an action could result in financial benefit or avoidance of financial detriment to the official, a relative or a business with which the official or a relative is associated. If the answer is "no," proceed with the action.
A “relative" includes the public official’s spouse and the parents, children, brothers and sisters of either the public official or the official’s spouse. A "member of a household" is any relative, as defined above, who resides with the public official.

16. More Law & You
Any person who was a public official at the time of an alleged violation will be subject to the authority of the GSPC, for a period of four years after the alleged violation, regardless of whether or not the person is still a public official at the time a complaint is filed.

17. GSPC on the Web

18. Downloadable complaint form on GSPC website
Anybody Can Report You
Downloadable complaint form on GSPC website

19. All Reported Cases Listed on Web
Even if a case is dismissed, the record is kept on the GSPC website for years.

20. P-Card Purchasing Process
At Northwest Regional ESD

21. P-Card Limits (Types) Card Limits Ethical Limits Per-transaction limit
Per- statement cycle limit
Department Limits (Budget)
You need appropriate department approval
Ethical Limits
Be sure your purchase is above reproach and doesn’t present the appearance of impropriety

22. Split Purchases
When a purchase contract is broken up into smaller transactions to circumvent bid/quote limits
ORS 279B.065 (2) makes split requirements illegal

23. Purchasing Less than $10,000?
Quotes not mandatory (but, would you get quotes at home?)
Avoid split requirements
If you have a stake in the vendor’s business, or if you have a close personal, professional or family connection to the vendor, ask someone else to buy.

24. More than $10,000 If your purchase is $10,000 or more
Follow the 3 quote process
Contact Fiscal Services for assistance.

25. P-Card Administration
Your responsibilities

26. When to use the card ? Is the purchase truly necessary?
Whenever practical
Purchases can be made
In person
By phone
By fax
The internet

27. You and Your Department’s Responsibilities
Physical Security of Cards and Pins
Verify, enter description and GL account number in all transactions made against your card in the Works system
Retain and attach supporting documentation such as all receipts, invoices, packing slips and quotation documents to the transaction within the Works system
Provide all documentation for review during audits
Card security: do not allow someone else to use your card.
Lost cards: notify Bank of America, your departmental contact and Business Services P-Card Team
Closing your account: turn your card over to your supervisor when you terminate, transfer to a new job or go on extended leave
Misuse: will result in recall of the card, legal action against you, deduction of wages and/or disciplinary action
Departments responsibilities:
Maintain records/receipts
Purchases of services of $ or more per year require a W-9 form. Collect this form before or at the time of payment. Failing to do so will result in MESD being held responsible for all withholding taxes and penalties that would be due from the provider
Items that are valued at $5,000 or more will need to be recorded in the Fixed Asset system and become an agency inventory item. Please forward all related information about this asset to the Business Office.
The department needs to set up an overall plan for keeping records such as the quotation sheets, receipts, invoices, and bank statements. This information needs to be readily available for auditing by external auditors as well as the Business Office.
Regular review is the most reliable means to ensure the card is used properly. .

28. Bank of America Works online
A secure, web-based expense management system
Allows you to perform administrative tasks online
Provides automated reporting tools

29. Cardholder Responsibilities in (Works Online)
Each time you use your P-Card, you will receive an saying, “Task to Perform”
Update P-Card transaction description information
Enter valid GL account codes for your transactions unless otherwise directed
Attach all receipts to the Works system
Sign-off in the Works system

30. If you are an “Approver” in Works Online
After a P-Card User has completed transaction sign-off, the “approver” will receive an notifying that there is a transaction awaiting approval in Works

31. Fiscal Services’ Responsibilities
Be available for assistance when needed
Review P-Card activity for proper usage
Provide opportunities for initial and refresher training
Conduct monthly internal audits

32. Internal Audit
Fiscal Services will conduct random monthly audits to monitor compliance with agency policy on purchasing, card usage, recordkeeping, and ethics. For example, we will check that:
Purchases are made for business purposes only
P-Card receipts are retained
Quote documentation maintained (purchases of $10,000 or more)
No “Split Purchases” have occurred
Cards have been cancelled when appropriate
Timeliness of task completion in Works system

33. Audit Results Most Common Mistakes. . .
No description for a transaction
Description too vague: “parking”
Delay in Cardholder/Supervisor Sign Off
Gratuity over the 15% limit
Questionable receipts

34. Qualifying Receipts Acceptable receipts
Invoice
Register Receipt
Web Page Print Out
An acceptable receipt must include
Vendor Name
Transaction Amount
Date
Itemized description of item(s) purchased

35. Lost Receipts
You must fill out the “Lost, Stolen or Missing Receipt” form and submit it to your Director for approval.
Contact Fiscal Services if you need the form. .

36. Unapproved Uses Personal Purchases Cash or cash-type transaction
Purchase of items expressly prohibited by policy
In cases where rebates are being offered for an item, you can complete the process yourself or send it to the departmental designated person for completion. The proceeds should be sent Business Services.
Cash or cash type transaction:
Cash advances
Cash in addition to purchase
Travelers checks
Money orders
Gambling
ATM transactions
Cash in lieu of a credit for the return or exchange of a purchase.
EScrip = A resource for fundraising where participating business partners contribute a percentage of your credit card purchases to the school, group or organization of your choice

37. Potential Problems Suppliers that do not accept credit cards
Available Balance on Card
Returns
Disputed Charges .
Suppliers that do not accept credit cards – contact purchasing
Blocked Merchant Category Codes – Some types of vendors have been blocked from usage in the program. Contact MESD Procurement Card team
Returns – Direct replacement or credit only. NO CASH REFUND
Disputed Charges – Contact vendor – Complete Disputed form sent to you by Bank of America
You and your designated departmental contact are responsible to resolve the problems

38. P-Card Contact
P-Card/Works and Purchasing Questions: Fiscal Services (503)

39. Thank you!