7.3.3 Purchasing Cards

Responsible Position

Chief Financial Officer

RELATED ITEMS

Minnesota State Board Policy

Minnesota State System Procedure

Minnesota State Operating Guidelines

PROCEDURES

Overview

An individual purchasing card is a card in the name of a college employee for which the institution is liable to the card issuer for all charges made in connection with the purchasing card issued to the named individual.

A purchasing card allows a cardholder the authority and capability to purchase items directly, enabling the cardholder to purchase faster and easier. The card can be used anywhere VISA is accepted. The cardholder can order in person, over the phone, and on the web.

Purchasing cards are not intended to replace the requisition process. See below for more information on authorized and unauthorized purchases.

Requesting a Purchasing Card

To request a purchasing card, please complete the following steps:

Review the entirety of ATCC Procedure 7.3.3 Purchasing Cards, Minnesota State System Procedure 7.3.3 Purchasing Cards, the State Travel Management policy, and the Cardholder online guide.
Log in to Workday and search “Create Request.”

Request type: “Credit Card Request” and complete the necessary fields.
This request will be sent to your supervisor for approval/denial.

Individual purchasing cards will be customized to each cardholder's position, including dollar limitations.

Card Delivery

If approved, purchasing cards will be delivered to the ATCC Business Office approximately two weeks after the card has been authorized. Once received, the purchasing card administrator will notify the employee and schedule a time to pick up the card.

Responsibility of Cardholder

Purchasing cards may be used to purchase eligible merchandise/memberships required in association with the duties or responsibilities of the cardholder. Each individual cardholder has the following responsibilities:

Safeguard the purchasing card and card account number at all times; lost or stolen purchasing cards must be reported immediately to the ATCC Business Office.
Do not allow students to use the purchasing card or card account number.
Obtain original itemized receipts/invoices for all purchases. All credits, including returns, must be documented with itemized receipts.
Log in to Workday (at minimum) weekly to reconcile transactions, if applicable.

Original itemized receipts are required and must be scanned and uploaded into Workday.

All cardholders will receive the purchasing card guidelines monthly as a calendar reminder.
Submit statement to the ATCC Business Office by the 12th of each month.

If statements are not received by the 12th of each month, cardholders will be notified.

Supervisor Responsibility

A supervisor or authorized reviewer of a cardholder is responsible for reviewing cardholder expenses and ensuring compliance with this procedure and any applicable ATCC procedures.

Duties include:

Approving employees for participation in the purchasing card program.
Reviewing purchases to ensure they meet objectives, are within restrictions placed on the card, and are deemed necessary.
Reviewing purchases to ensure the card has not been used for unauthorized or inappropriate purchases.
Responding to any misuse of the card by the cardholder.
Notify the Business Manager/CFO to ensure the purchasing card is closed when an employee separates from the institution or is no longer authorized to use the purchasing card.
Ensuring cardholders reconcile transactions on a weekly basis. Supervisors will receive an electronic task notification in Workday if an employee has unreconciled credit card transactions, prompting them to follow up with the employee to review the expense report and electronically approve the transactions.

ATCC Business Office Responsibility

The ATCC Business Office is responsible for reviewing cardholder expenses and ensuring compliance with this procedure and any applicable ATCC or Minnesota State system procedures.

Duties include:

Review submitted statements to ensure accuracy and appropriate approvals.
Identify additions to equipment that requires inventory controls.

Intercollegiate Athletics P-Card Usage

This section outlines the guidelines for Athletic staff utilizing purchasing cards (P-Cards) while traveling with students participating in the intercollegiate athletics program. It ensures proper use of P-cards for student-related travel expenses and compliance with ATCC purchasing policies.

Authorized Expenses:

Athletic Program employees traveling with students may use P-Cards exclusively for student meals while in travel status. Employee meals and other personal expenses are not permitted on the P-Card. Team travel P-Cards can be used for team-related travel expenses such as transportation, lodging, meals, and entry fees while in travel status.

Per-Diem Rate for Student Meals:

Meal expenses for students are limited to the daily per-diem rate set by ATCC. Any costs exceeding this rate will be charged back to the athletic program's budget.

Special Expense Travel Form Requirement

Prior to any travel, the College-Related Activity Form must be completed and submitted to the ATCC Business Office. This form is specifically for tracking and approving expenses related to student meals during travel.

Prohibited Use of P-Card

Employee Meals: Employee meals are not allowed on the P-Card under any circumstances. Employees are expected to cover their own meal costs through personal funds or applicable per diem reimbursements as per ATCC travel policy.
The P-Card must not be used for any non-student expenses other than those outlined above.

Submission of Receipts and Reconciliation

All receipts for student meal purchases made with the P-Card must be submitted to the Business Office along with the completed reconciliation report within 5 business days of returning from travel.

Receipts must clearly indicate the number of student meals purchased, and any missing or incomplete documentation may result in suspension of P-Card privileges.

Authorized Card Use for Non-Athletic Programs

Purchasing cards may be used to purchase eligible items and memberships required in association with the duties or responsibilities of the cardholder at the college. Unauthorized and inappropriate card use is addressed in the following section.

Unauthorized, Prohibited, and Inappropriate Use

Purchasing cards are not to be used to purchase items for non-college purposes, even if the cardholder intends to reimburse the college. A cardholder who makes an unauthorized purchase with the card or uses the card in an inappropriate manner may be subject to disciplinary action, up to and including termination, as well as revocation of the purchasing card, criminal prosecution, and the restitution of the unauthorized use.

Purchasing cards cannot be used for purchases in the following categories:

Alcoholic beverages;
Cash or cash advances;
Food and beverages for an individual employee;
Items for non-college purposes;
Personal use items;
Sensitive items (e.g. cameras, laptops, monitors, iPads, etc.) as defined in Minnesota State Procedure, 7.3.6 Capital Assets (including weapons of any kind); or
Travel expenses required to be reimbursed under Minnesota State Procedure 5.19.3, Travel Management (including gasoline for personal vehicles).
Student or employee meals during travel or program-related field trips.

Use Allowed Only when Specifically Authorized

Specifically, authorized cards may allow for purchases listed in this part that comply with applicable procedures, and any applicable grant agreement. In all cases, prior approval for the expense(s) is required.

Conference and seminar registration;

An employee must submit the College-Related Activity Form to their supervisor prior to using their purchasing card.

Food and nonalcoholic beverages for student activities, including travel, that will be paid for with Student Activity funds in compliance with ATCC procedures;
Food and nonalcoholic beverages for business meetings;

Special Expense Form

Food and nonalcoholic beverages that will be paid for with grant funds, if allowed by a grant agreement;
Travel-related expenses:

An authorized card may be used in all allowable expenses of the cardholder, except food and beverages;

Examples of allowable expenses include: airfare, room and related taxes, vehicle rental, gasoline for a rented vehicle, and parking while in travel status;

Authorized cards may allow for cardholders to arrange for transportation or lodging for another individual or groups of individuals.
See ATCC Policy 5.19 Travel for Official College Business for more information.

Entertainment and recreation expenses are prohibited, except when purchases are made using the following funds:

Student activities that will be paid for with Student Activity funds; or
Activities that will be paid for with grant funds as authorized by the grant agreement; or

Cash equivalents purchased with purchasing cards include but are not limited to gift cards, bus passes, and parking vouchers.

Such purchases must be pre-approved, and distribution of cash equivalent items must be documented.

Sales Tax Exemption

The College is a tax-exempt organization. If the Tax-Exempt Certificate is required by a vendor, a request can be made to the Business Office by calling 320-762-4530 or via email at businessoffice@alextech.edu.

Any taxes paid on the card will be your personal responsibility to get back or pay. Exceptions are hotels, airfare, and some contracted food vendors. If receipts have tax on them and should not, it will be your responsibility to call the vendor and have the tax reimbursed as a credit.

Shipping/Delivery

Orders must be shipped or delivered to ATCC at 1601 Jefferson Street, Alexandria, MN 56308. Delivery to personal addresses is not allowed.

Returns and Exchanges

If any item purchased with a purchasing card is unacceptable or not allowable, arrangements must be made for a return for credit or an exchange whenever feasible. A cash refund or check is prohibited unless the vendor insists that a refund must be by cash or check. In such cases, the funds must be deposited immediately with the college. If a refund is issued in the form of a check, the check must be payable to the institution.

Accountability

If a cardholder fails to comply with established purchasing card policies and procedures, including reconciling transactional reports in Workday in a timely and complete manner, the Business Manager/CFO has the authority to take action. Non-compliance will result in consequences for the cardholder’s account. Repeated violations may lead to the revocation of cardholder privileges.

Warning-
Cardholders are given one warning for non-compliance. Purchasing card accounts must be brought into compliance by the specified deadline in the emailed notification or an additional consequence will be issued.
1st offense-
P-Card will be suspended immediately. Once the transaction(s) comply, the P-Card will remain suspended for one full billing cycle.
2nd offense-
P-Card will be suspended immediately. Once the transaction(s) comply, the P-Card will remain suspended for six full billing cycles.
3rd offense-
P-Card will be revoked and will not be reissued.

Audit

ATCC conducts periodic reviews for proper card use. Purchasing card records are subject to audit from time to time.

Records Retention

ATCC must maintain purchasing card records in accordance with record retention schedules and other applicable requirements.

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POLICIES & PROCEDURES