Purchasing Card Policy

Purpose: 

The P-card program offers an efficient and cost-effective method for handling small-dollar transactions, high-volume purchases, and travel expenses. It reduces processes that are higher risk and/or higher cost to the University, such as petty cash, cash advances, and small-dollar purchase orders.

Definitions Related to this Policy:

Account Group Managers (aka Delegates) means administrative employees who assist cardholders in coding transactions, entering adequate transaction descriptions, and uploading supporting documentation.

Approvers means supervisors/managers who hold sufficient signature authority under the Delegation of Signature Authority Policy.

Cardholders means University employees whose names appear on the P-card and who are responsible for all charges. Cardholders must be current employees.

P-Card Coordinator means the accounting office employee who oversees the P-card program.

Purchasing Card (P-Card) means a University-issued credit card for business-related purchases, managed and paid by the University

Policy: 

1. Use - P-Cards may be used only for authorized business purposes. All transactions must comply with University policies, applicable laws, and ethical standards. Cardholders must use the card responsibly and consistently with the University's mission.
2. Eligibility - Employees may receive a P-Card upon completing required training. Maintaining eligibility requires good standing and policy compliance. Noncompliance may result in credit limit reduction or card revocation, as well as disciplinary action up to and including termination.
3. Personal Charges - P-Cards may not be used for personal purchases. Accidental charges must be reimbursed via cash, check, or authorized electronic withdrawal, to the Accounting office within 30 days of the transaction. Failure to reimburse personal charges within 30 days may result in collection efforts, including referral to a third-party agency, as well as disciplinary action up to and including termination. 
4. Responsibility - Cardholders and Approvers must ensure available budget funds and proper documentation for business expenses.
5. Application - A P-Card Application form must be completed and approved by an authorized supervisor with sufficient signature authority before submission to the P-Card Coordinator. 
6. Credit Limits - The default credit limit for cardholders is $5,000. To increase a credit limit, a Credit Limit Adjustment form must be completed and signed by the Cardholder's Approver.
7. Corporate Vendor Accounts - All purchases made through University-established online accounts (such as Amazon) must be charged to a P-Card. The use of personal payment methods is strictly prohibited. Employees are also prohibited from using P-Cards on personal accounts at vendors where University corporate accounts have been established. 
8. Roles and Expectations: 
   1. Cardholder:
      1. Assign appropriate general ledger account numbers to transactions.
      2. Ensure charges include an adequate business purpose description.
      3. Upload required supporting documentation for all transactions.
      4. Dispute contested transactions.
      5. Adhere to University policies, expense documentation guidelines, and card security measures.
   2. Account Group Manager:
      1. Assist Cardholders with their responsibilities.
   3. Approver:
      1. Approve P-Card transactions and ensure policy compliance.
      2. Approve Cardholder credit limit adjustments (may not exceed approver’s signature authority)
      3. Retrieve P-Cards from terminated employees.
   4. P-Card Coordinator:
      1. Inspects and submits all P-Card applications to the issuing bank.
      2. Processes all credit limit adjustments.
      3. Contacts employees who violate University policies.
9. Restricted Purchases - Refer to the Travel and Expense Reimbursement Policy for non-reimbursable expenses, as those items are also ineligible for P-Card use. Individual departments may have additional specific guidelines for restricted purchases.
10. Submission & Approval - Cardholders and/or Account Group Managers must allocate each expense to the appropriate general ledger account, add an adequate transaction description, and upload supporting documentation no later than the 3rd day of the subsequent month. Failure to do so may result in credit limit suspension or card revocation. Approvers must complete their approval no later than the 7th day of the subsequent month.
11. Receipts - Itemized receipts are required for expenditures over $75 and strongly encouraged for expenditures below this threshold. 
    1. Cardholders must ensure receipt availability and provide appropriate documentation for online or mail/telephone purchases. Duplicate receipts must be obtained if the original is lost.
    2. Granting agencies or individual departments may require receipts for purchases of $75 or less, so it is best to provide a receipt whenever possible. 
12.  Returns, Credits, and Disputed Charges
    1. Resolve issues directly with vendors whenever possible.
    2. Returns must be credited to the card; cash refunds are prohibited. 
    3. Contact the bank directly (by calling the number on the back of the card) if disputes cannot be resolved directly with vendors.
13. Recovery of Funds for Unauthorized Personal Use - If a Cardholder makes personal purchases using a P-Card and fails to reimburse the University within the designated timeframe, the University reserves the right to contact the Cardholder via personal mailing address, email address, and/or phone number. The University may also initiate collection efforts through a third-party agency and report the outstanding debt to one or more credit bureaus. 
14. Fraud Prevention
    1. Cardholders must sign the back of the card immediately upon receipt.
    2. Cardholders are responsible for card security. The card should be kept secure at all times, and only the cardholder is authorized to use it.
    3. Monitor transactions and report possible fraud or a lost/stolen card to the issuing bank and P-Card Coordinator immediately.
    4. Cards that are unused for more than 6 months may be closed.
    5. Credit limit adjustments that are not used for more than 12 months may be removed.

Effective Date: March 26, 2026
Responsible Person/Primary Contact: Controller
Responsible University Office: Accounting