1. 1 A-Z PCard Compliance Review Program NAEP 88 th Annual Meeting & Expo April 19 - 22, 2009 Providence, Rhode Island

2. 2 University of Maine System Paula A. Taylor, C.P.M. Procurement & Travel Administrator Office of Strategic Procurement 16 Central St. Bangor, ME 04401 taylorp@maine.edu www.maine.edu/system

3. 3 UMS PCard Overview 1 System PCard Program Manager 8 Campus PCard Administrators 1,600 Cardholders One Card Program Including Travel $18MM Annual Program Spend $2,500 Avg Card Limit $1.6MM Avg Monthly Spend

4. 4 UMS PCard Terminology Cardholder – IndividuaI responsible for purchasing card Recordkeeper – Individual responsible for collecting and retaining Cardholder receipts and approves online transactions Supervisor - Individual responsible for signing monthly bank statements and transaction oversight Reviewer – Individual responsible for conducting periodic departmental PCard compliance reviews Administrator – Individual responsible for campus PCard program Program Manager – Individual responsible for overall system PCard program

5. 5 Review vs. Audit Review – Campus informal, periodic documentation and process review of Cardholders and Recordkeepers; reports to Dept Heads and PCard Administration. Audit – UMS formal, periodic documentation and process audit to ensure Cardholders’ compliance with policies and procedures; follows up on deficiencies and reports to Campus Dept Heads, System CFO and Board of Directors.

6. 6 Why do we need Reviews? No UMS Internal Auditor – Program Manager responsible for PCard campus audits Promote program policy compliance Continue Cardholder education Heighten program exposure Recognize departmental training opportunities Ensure successful campus Internal PCard Audits

7. 7 UMS Goals Collaborate with Campus PCard Administrators Share resources and documentation Support existing procurement policies Use Review Program to determine any weaknesses while promoting efficiencies, ongoing training, and limiting overall University risk

8. 8 PCard Review Steps Pre-Review - Dept, scope, and reviewer selection Field Work - On-site review of documents and procedures Post-Review Activities - Summary detail reporting, recommendations, distribution of findings and dept follow-ups

9. 9 UMS PCard Review Documents Step 1: Review Notification Memo Review Checklist Step 2: Department Notification Memo Department Cardholder Report Step 3: Transaction Detail by Cardholder Review Worksheet Step 4: Findings Tally Step 5: Final Memo Final Summary Report Step 6: Follow-Up Memo

10. 10 Step 1 Documents Review Notification Memo - Notifies departments of impending reviews - Communicates intent to schedule review - Details anticipated dates for review Review Checklist - Accompanies Review Notification Memo - Outlines scope and criteria to be examined

11. 11 Step 2 Documents Department Notification Memo - Schedules departmental appointment, and reminder of intent Department Cardholder Report - Accompanies Dept Notification Memo - Requests review and update of Cardholder statuses

12. 12 Step 3 Documents Transaction Detail by Cardholder - Report detailing Cardholders specific transactions within date of scope Review Worksheet - Expanded version of review checklist for each Cardholder; allows for additional reviewer transaction notations

13. 13 Step 4 Documents Findings Tally - Reviewer summary reference - Notes departmental findings by Cardholder to highlight areas of weaknesses - Used to find campus trends where program should initiate retraining of specific areas

14. 14 Step 5 Documents Final Memo - Notifies department that review is complete - Sends words of appreciation - Encourages department to provide follow-up on findings Final Summary Report - Accompanies Final Memo - Document expanded to note findings and recommendations - Summarizes with final interpretation

15. 15 Step 6 Documents Follow-Up Memo - Issued only if department follows-up with Final Summary Report with more detail or documentation Final Summary Report (Modified) - Accompanies Follow-Up Memo - Responds to departmental follow-up findings with notations and any further recommendations

16. 16 What have we learned along the way? What are our biggest challenges? What have been our biggest successes? How has this program been received? Is retraining Cardholders necessary? Can it work for you? Does this Compliance Review Program work for UMS?

17. 17 A-Z PCard Compliance Review Program Questions & Answers