7.8.4 PROCARD USAGE
A. Guidelines for Use
The ProCard is to be used only for the purchase of low-dollar and low-risk goods and services for University business purposes when other methods of procurement are not more appropriate.
B. Making a Purchase
The ProCard is not intended to replace other procurement or payment methods available to University personnel, and does not exempt the Cardholder from any procurement or payment procedures and policies. Purchasing alternatives should be evaluated and explored prior to the utilization of the ProCard.
1. Disallowable Purchase List
Prior to using the card, this list must be reviewed in its entirety. The purchase of an item included on this list is subject to consequences.
2. Purchasing Within Allowable Limits
All purchases made via the ProCard must be within established single-transaction and cycle limits for the individual card. Requests to increase single-transaction and cycle limits must be approved by the CSU Business Officer to the Central ProCard Office.
3. Shipping Address
All items purchased via the ProCard that are shipped must be shipped to a valid university address. Items should not be shipped to the Central ProCard Office.
If there is a legitimate business need to have items shipped off campus, contact to the Central ProCard Office prior to a purchase being made.
4. Billing Address
All items purchased via the ProCard must utilize the billing address for the Central ProCard Office which is as follows:
UTA, Suite 3.302
Austin, TX 78701
5. Verify Vendor Tax Standing With the State of Texas
Transactions that exceed $500 require a preliminary check of the tax standing of the vendor with the State of Texas. You may complete this requirement by working in *DEFINE or POINT Plus.
- If you are working within *DEFINE, you may search for the vendor by utilizing their name and/or UT EID within the GG4 or GG3 commands. If an asterisk is included next to the vendors’ name, the vendor is on hold with the State of Texas and another source should be utilized.
- If you are working within POINT Plus, you can verify the vendor’s standing in the Vendor section by searching for the vendor’s information. If the word “hold” is featured next to the vendors’ name, the vendor is on hold with the State of Texas and another source should be utilized.
- If you do not have access to either of these systems, speak with your Electronic Office Manager.
If the vendor in question is the only option for the items needed, or if the vendor is not listed in either system, inquiries should be sent to the Vendor Identification Section.
6. Verify Specially Designated Nationals (SDN) Status for Foreign Purchases
For all foreign purchases, the Cardholder is responsible for verifying that a vendor does not appear on the list of SDNs issued by the United States Department of the Treasury Office of Foreign Assets Control (OFAC). Under Executive Order (EO) 13224 issued by the President of the United States, all government entities are prohibited from doing business with people, organizations, businesses, countries, or other entities that appear on this list.
7. Verify the Purchase Excludes Texas Sales Tax
All purchases made with a ProCard are exempt from paying Texas Sales Tax. Cardholders should monitor all transactions to ensure that tax is not charged on any ProCard purchase. Cardholders can find University tax-exempt information on the Texas Sales Tax Exempt Information page.
8. Utilization of Transaction Log
A transaction log must be used during all instances of card sharing. Spot checks are performed by the Central ProCard Office to ensure this log is utilized appropriately and is imaged with its corresponding payment voucher.
C. Post-Purchase Requirements
After a purchase is made with the ProCard, in accordance with University policy, the following tasks must be performed to successfully reconcile individual transactions and the payment voucher that is generated at the close of each billing cycle period.
1. Using the Global Card Management System (GCMS)
GCMS offers an option for digital banking that assists Cardholders or Card Managers by providing a simple way to monitor usage, verify and track transactions, as well as prevent fraud. The inclusion of GCMS throughout the reconciliation process is highly encouraged by the Central ProCard Office.
Ensure all items were shipped and received to a University address. The Cardholder is responsible for resolving any delivery problems, order discrepancies, or issues involving damaged items.
If a dispute was issued but never resolved with the vendor, a dispute may be filed with Citibank.
3. Receipt and Documentation Submission Requirements
It is the Cardholder’s responsibility to submit their payment voucher documentation to the Reconciler assigned to their card. In order for documentation to be considered complete, the Cardholder must always include the following information:
- An itemized receipt: For each item purchased on the ProCard, the Cardholder is responsible for obtaining a receipt, invoice or some other form of support documentation from the vendor as proof of purchase and payment. The document should include the following: information pertaining to the items purchased, the date of purchase, vendor information and the total price.
- An acknowledgment of where the item was delivered: This must be a valid University address, and it must be listed on the itemized receipt. During instances where this is unavailable, a packing slip will suffice.
- Receiving Stamp: In order to enforce separation of duties, the receipt must have a “Goods Received” stamp, signed by someone other than the Cardholder.
When applicable, include the following:
All receipts must be submitted within three days of purchase.
Use the following object codes for controlled items costing $500 or more:
- 1837 – camcorders, cameras, data projectors, laser disk players, stereos, television sets, video players
- 1847 – computers, desktops, iPads, laptops, tablets
These items must be flagged and reported to Inventory Services for tagging.
5. Retention Schedule
Departments must send their documentation for their ProCard purchases to Imaging. Imaging retains the documentation for a minimum of four years (equal to three years, plus the current fiscal year) as required by the University of Texas Records Retention Schedule (UTRRS).
D. Correction of Errors
1. Reimbursing Sales Tax
All purchases made with a ProCard are exempt from paying Texas Sales Tax. If a purchase is made, and Texas Sales Tax is included, contact the vendor and request a refund of the sales tax. If the vendor refuses to refund the tax charged, the item should be returned, or the Cardholder must reimburse the account that was originally charged. Should the Cardholder need to be reimbursed sales tax they have personally paid, they can petition the Comptroller’s office for reimbursement from the State.
Sales tax is charged by the vendor based on where they are located. Vendors located outside of the State of Texas are not required to honor our Texas Sales Tax Exemption.
2. Missing Receipts
If a receipt is lost, destroyed, or misplaced, Cardholders must first contact the vendor to request a copy of their receipt. If the vendor is unable to supply a new receipt, Cardholders must contact the Central ProCard Office, who will advise regarding the required next steps and an access code to the Missing Receipt Form.
3. Returns and Credits
All credits/refunds must be applied to the same ProCard used during the original transaction. The credit/refund should also utilize the original account and object code used on the original transaction.
If an account needs to be reimbursed by an individual, a Cash Receipt Voucher with the Bursar’s Office (also known as a VC1) needs to be processed. When creating the VC1 document within *DEFINE, the Cardholder must reimburse the same expenditure subaccount and object code that was originally charged, as well as reference the original payment voucher document ID within the notes of the document.
Per the State Comptroller, Cardholders are not allowed to receive cash refunds or store credit for items that were purchased via the ProCard.
Part 7. Purchasing - Table of Contents