| Van Buren Intermediate School District |
| Administrative Guidelines |
6423 - USE OF CREDIT/DEBIT CARDS
The Board of Education recognizes the convenience and efficiency afforded by the use of District credit and/or debit cards. Such cards, however, shall not be used in order to circumvent the general purchasing procedures established by State law and Board policy. As such, employees are required to abide by the following guidelines when using a District credit/debit card.
| A. | Board member(s) and staff may use credit/debit cards only in connection with Board-approved or school-related activities and in accordance with established, pre-approved single purchase limits, monthly spending limits, funds availability, and the appropriation of a particular building or department budget, grant provision, or student activity purpose clause. | |
| Board member and staff limits will be established by the Director of Finance and Operation. Spending limits may be increased or decreased as necessary. | ||
| B. | Subject to the discretion of the Board and the approval of the Superintendent, credit/debit cards may be used for eligible goods and services including: |
| 1. | transportation reservations and expenses; | ||
| 2. | conference registrations; | ||
| 3. | hotel reservation guarantees and expenses; | ||
| 4. | purchases from vendors for school related materials and supplies | ||
| 5. | safety and security reasons in connection with a student field trip, competition, and/or other activity or event, if monies are budgeted and deposited with the Business Office in advance; | ||
| 6. | other purchases approved by the supervisor on a case-by-case basis. |
| C. | Credit/Debit cards shall not be used for personal purchases or expenditures not allowed under this guideline. In particular, credit/debit cards shall not be used for expenses that are not incurred in connection with Board-approved or school-related activities, are not for the benefit of the District, and do not serve a valid and proper public purpose. Use of credit/debit cards in an unauthorized or illegal manner may result in revocation of credit/debit card privileges, disciplinary action and/or, where appropriate, may require the user to pay any and all inappropriate charges, including finance charges and interest assessed in connection with the purchase. | |
| D. | Employees requiring the use of District credit/debit cards shall request (in writing) such cards from the Director of Finance and Operations. | |
| E. | When using a District credit/debit card, employees shall: |
| 1. | Inform merchant that the purchase is for "official School District business" and is not subject to State or local sales tax. However, if the merchant fails to waive the tax, the employee shall pay it. For large purchases where the merchant refuses to waive the tax, the employee shall present a tax exemption form. | ||
| 2. | Maintain credit/debit cards in a secure fashion and prevent unauthorized charges to the account. | ||
| 3. | Maintain sufficient documentation of all purchases, including, but not limited to, charge receipts, original cash register slip or other detailed receipt, and invoices. | ||
| 4. | Provide documentation of all purchases to the Department Purchasing Secretary in a timely manner to ensure prompt payment. | ||
| 5. | Immediately notify the Director of Finance and Operations and the bank if the card is lost or stolen. | ||
| 6. | Refrain from allowing anyone else to use the credit/debit card or account number. | ||
| 7. | Refrain from splitting the costs of an invoice or purchase in order to circumvent the credit/debit card process and established, pre-approved single purchase limits, monthly spending limits, and/or funds availability. | ||
| 8. | When using the card for over-the-counter purchases: |
| a. | Identify the purchase needed and determine funds availability. | |||
| b. | Determine if the purchase amount is within his/her pre-approved single purchase limit. If yes, proceed to the next step. If no, check with his/her supervisor for details on how to proceed. | |||
| c. | Provide the merchant with the District card and inform the merchant that the purchase is for "official School District business" and is not, subject to State or local sales tax. If the merchant refuses to waive the sales tax, the employee shall pay it. | |||
| d. | Retain receipts, including cash register receipt and credit/debit card charge slip. | |||
| e. | Attach receipt and supporting documentation to the monthly report and give to the Department Purchasing Secretary. |
| F. | When using a District card for telephone orders: |
| 1. | Identify the purchase needed and determine funds availability. | ||
| 2. | Determine if the purchase amount is within his/her pre-approved single purchase limit. If yes, proceed to the next step. If no, check with his/her supervisor for details on how to proceed. | ||
| 3. | Contact the merchant and place the order. | ||
| Provide the merchant with the District card and inform the merchant that the purchase is for "official School District business" and is not subject to State or local sales tax. If the merchant refuses to waive the sales tax, the employee shall pay it. | |||
| 4. | Provide merchant with all pertinent information, including the name of the Cardholder, shipping address, etc. | ||
| 5. | Upon arrival of merchandise, inspect and verify order accuracy, quality, and price and retain shipping documents and receipts received with the merchandise. | ||
| 6. | Attach all related documents to the monthly report and give to Department Purchasing Secretary. |
| G. | When using a District card for Internet orders: |
| 1. | Identify the purchase needed and determine funds availability. | ||
| 2. | Determine if the purchase amount is within his/her pre-approved single purchase limit. If yes, proceed to the next step. If no, check with his/her supervisor for details on how to proceed. | ||
| 3. | Locate the merchant’s website and place the order. | ||
| 4. | In purchasing goods and/or services, enter card number and expiration date only if the site indicates it is using secure software for collection of data. Indicate that the purchase is tax exempt if the website does not automatically recognize that the purchase is tax exempt. | ||
| 5. | Provide all pertinent information to supplier, including the name of the Cardholder, shipping address, etc. Note: employee shall print out the electronic confirmation and include it with the transaction documentation, particularly when downloading a product from the internet. | ||
| 6. | Upon arrival of merchandise, employee(s) shall inspect and verify order accuracy, quality, and price and retain shipping documentation received with merchandise. | ||
| 7. | Attach all related documents to the monthly expense report and give to Department Purchasing Secretary. |
| H. | Each month, the employee will furnish a monthly expense report detailing the credit/debit card activity and attach all supporting documentation. |
| 1. | Employees, when possible, shall include an original cash register slip or other detailed receipt (i.e., a receipt from a restaurant itemizing all purchases made), in addition to the receipt copy of all charges. In addition, employees shall include, shipping documents and receipts received with the merchandise. | ||
| 2. | Employees shall specify on the back of the receipt the following information: |
| a. | a brief description of the school-related purpose of the purchase | |||
| b. | the names and affiliation of each attendee if a purchase is made on behalf of a group of individuals | |||
| c. | verification that family members or other individuals having no school-related purpose for their attendance paid their own expenses |
| I. | Failure to return District credit/debit cards and/or receipts within the above-referenced time period may result in the suspension of credit/debit card privileges and/or charges being deemed unrelated or unsubstantiated. |
| 1. | Employees shall be responsible for any and all unrelated or unsubstantiated purchases and shall be required to make full reimbursement to the District within thirty (30) business days. | ||
| 2. | If an employee(s) reimburses the District for an unsupported purchase, it shall be documented in the monthly credit/debit card reconciliation. |
| J. | The supervisor will keep a record/activity log of all credit/debit card uses and review and approve all purchases to verify that the expenses are incurred in connection with Board-approved or school-related activities, are for the benefit of the District, and serve a valid and proper public purpose prior to disbursing public funds for payment of such expenses. |
| 1. | Any and all reviews and approvals must be evidenced by the supervisor’s initials and/or signature. | ||
| 2. | In addition to evidencing review and approval of the purchase, the supervisor should immediately send all questionable items to the employee purchasing the item for explanation. These explanations shall be approved by the employee’s immediate supervisor prior to the payment of such expenses. If an employee reimburses the District for a questionable purchase, it shall be documented in the monthly credit/debit card reconciliation. | ||
| 3. | Upon review and approval, all appropriate documentation shall be forwarded to the business office. |
| K. | Upon receipt of the appropriate documentation, credit/debit card expenditures will be paid through the Business Office. | |
| L. | The business office will monitor the credit/debit card account(s) and reconcile all credit/debit card accounts on a monthly basis. | |
| M. | If the employee is terminated or resigns, then s/he must return the credit/debit card and remain responsible for any inappropriate use. |
Approved 9/03
Revised 9/06