Policies, Regulations Forms and Bylaws

7220-20 | Purchasing Card Regulation

Date Approved: April 11 2006
Date Reviewed/Amended: August 01 2016


Preamble 
Purchasing Cards enable holders to make direct purchases with monthly payments issued by the Board Office. This process reduces the amount of paperwork both for the school or department, and at the School Board Office. Purchases are charged to appropriate budget accounts.

 

Regulation

A.  Issue and Use of Cards

A Purchasing Card is issued to an individual and shows that person’s name and the name of the School District. The Cardholder is the only person entitled to use the Purchasing Card. They are also responsible for all purchases made with the Purchasing Card.

The Purchasing Card may be used for single item purchases up to the card transaction limits, and subject to the restrictions either implemented in the card provider system or outlined in the School District Policy and Procedures (see list below).

The per transaction and monthly maximum spending limits for a Purchase Card will be set based on the need of the cardholder. These limits can be adjusted.

Schools or departments using a Purchasing Card will be responsible for all authorized charges and fees related to the use of the Purchasing Card, including late payment charges incurred as a result of late-processing by the school or department. Individual Cardholders are not responsible for authorized use of the Purchasing Card.

Principals and Department Supervisors are responsible for requesting replacement cards, additional cards or changes to card limits through the Secretary-Treasurer.

Payment of Purchasing Card balances will be made automatically from the Board Office in the prescribed time limit.

 

B.    Restrictions on Card Use

The use of Purchasing Cards is subject to the following restrictions: 

  1. Only the person whose name appears on the Purchasing Card may use it. 
  2. The Purchasing Card must only be used to make authorized School District purchases within the established card limits and approved budgets.
  3. The Card cannot be used for any of the following:
  • Liquor
  • Cash advances
  • Services normally provided through Maintenance work orders
  • Single items with a value greater than the card transaction limit
  • Splitting purchases to avoid the card transaction limit
  • Hazardous materials
  • Extended rental or leasing of equipment

Every Cardholder must read and agree to the responsibilities and restrictions regarding the use of the Purchasing Cards and sign the Purchasing Card Form.

Inappropriate use of the purchase card will be considered a misappropriation of School District funds. Employees using cards inappropriately may be subject to disciplinary action, up to and including termination of employment.

 

C.    Card Security

To limit exposure or liability to the School District and the person named on the Purchasing Card, the Cardholder should be aware of the following requirements:

     1.  When not being used, the Purchasing Card should be kept in a secure location;

     2.  Use appropriate caution when using a Purchasing Card for online purchases;

     3.  If the Purchasing Card is lost or stolen, or if fraudulent charges appear on the card, the Cardholder must call the card provider and cancel the card. Lost or stolen Purchasing Cards can be reported 24 hours a day by calling the toll-free phone number supplied with the Purchasing Card;

  • In addition, advise the Secretary-Treasurer and the Secretary-Treasurer will follow up to ensure the card is cancelled and a replacement card is ordered;

     4.  Upon transfer, retirement or termination of employment from the school or department, the Cardholder must:

  • Reconcile all outstanding charges on the Purchasing Card, and
  • Immediately return the Purchasing Card to the Secretary-Treasurer; and

     5.  If requested, immediately return the Purchasing Card to the Secretary-Treasurer.

 

D.     Record Keeping

Each Cardholder will receive regular notification from the card provider when purchases are made using their Purchasing Card. Account codes must be entered regularly (normally weekly) for every transaction on a Purchasing Card. Uploaded receipts and packing slips must be linked to each transaction. This coding and linking is entered online using the card providers’ system. These records will then be available for standard audit purposes and to facilitate reconciliation and purchase verification. Upon confirmation that a legible record has been uploaded into the system, the original record can be disposed of.

The Secretary-Treasurer and the Director of Finance can be contacted for consultation on the use of the Purchasing Card and record keeping required for reconciliation and auditing purposes. The Director of Finance will have access to all billing reports to monitor each Cardholder’s use and reconciliation patterns of use to determine whether the Purchasing Card is being used in accordance with the policies.

Normal practices related to GST and PST apply to purchases made with a Purchasing Card.  Monthly statements are available to the Cardholder through the card provider’s online system.

 

E.    Disputed Charges

The card company must immediately be notified by the Cardholder of any disputed items. The School or Department is liable for any unauthorized use of the Purchasing Card until the Cardholder has reported notification of loss, theft or cancellation to the card Company. Please note that problems with the supplier (e.g. late deliveries) are not considered disputed items and must be settled directly with the supplier.

If assistance is needed with any questions or disputes about charges on the Purchasing Card, contact the Director of Finance or the Secretary-Treasurer.

 

Related Policy and Regulations

7120        Travel and Subsistence Allowance Policy
7120-10   Travel and Subsistence Allowance Regulation
7120-20   Travel and Subsistence Allowance – Approvals Regulation
7220        Purchasing and Tendering Policy
7220-20A Purchasing Card Form
7220-10   Purchasing of Supplies and Equipment Regulation
7310       School Funds Policy

REFERENCES
7120 - - Travel and Subsistence Allowance Policy
7120-10A - - Expense Account Form
7120-20 - - Travel and Subsistence Allowance - Approvals Regulation
7220 - - Purchasing and Tendering Policy
7220-10 - - Purchasing of Supplies and Equipment Regulation
7220-20A - - Purchasing Card Form