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I. KEY CONTACTS
CSU PCard Help Desk
Procurement Services
Campus Mail Address: PCard, 6010 Campus Delivery
Phone: (970) 491-5752
Fax: (970) 491-5523
E-mail: procur[email protected]
JPMorgan Chase Customer Service
Lost, Stolen, or Compromised Card
Phone: (800) 316-6056
LOST OR STOLEN CARDS MUST BE REPORTED IMMEDIATELY!
Cardholders must contact the issuing bank,
JPMorgan Chase, at
1-800-316-6056
to report a lost or stolen card.
After contacting JPMorgan Chase about a lost or stolen card, also notify the CSU
PCard Help Desk at (970) 491-5752.
Your department has full liability for all purchases made before a card is reported lost or
stolen. A new card will be issued by the bank, sent to the PCard office, and the Cardholder
will be notified to pick-up the new card.
REPORT DISPUTED TRANSACTIONS IMMEDIATELY!
An attempt should always be made to resolve the dispute with the merchant, if possible,
prior to reporting the dispute or compromised card to the bank. Please notify the PCard
Help Desk of the dispute (970-491-5752).
The Cardholder is responsible for contacting JPMorgan Chase to initiate the dispute
process. A dispute can be processed via the phone. JPMorgan Chase Phone: 1-800-316-
6056 or 1-888-297-0768.
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II. INTERNET RESOURCES / DOCUMENTATION
PCard Website: https://procurement.colostate.edu/pcard/
Business and Financial Services Website: www.busfin.colostate.edu
III. PROCUREMENT CARD (PCARD) INTRODUCTION
The Procurement Card (PCard) is a purchasing method whereby active Colorado State
University staff, faculty, and student employees are issued a commercial MasterCard
through JPMorgan Chase to make small dollar, non-recurring purchases totaling $3,000.00
or less (depending upon individual card limit) for official University business use. The
PCard may be used for small dollar non-recurring purchases totaling $3,000.00 or less when
the use of a Shop Catalogs vendor, Automatic Purchase Order (APO), or a Disbursement
Voucher (DV) is not viable. The authorized Cardholder is able to purchase directly on behalf
of CSU, thereby allowing tax-exempt use.
CSU student employees must be in the Oracle payroll system, been paid by the University
for at least one pay period before applying for a PCard, and must have continued active
employment status in the department requesting the PCard in order to retain it.
Small dollar purchases are defined as follows:
Small dollar purchases are purchases within the card limit where it is NOT
anticipated that future purchases (in same the fiscal year) of like or similar goods
or services will be needed, OR, if further purchases are anticipated, then all such
purchases will remain cumulatively $5,000 or less per fiscal year. The reasoning
behind this rule is that small transactions that are recurring can add up to large
purchases that would be subject to competitive bidding in order to comply with
procurement and fiscal rules and to assure maximum value to the University.
OVERVIEW OF PROGRAM
:
• Each MasterCard has the CSU name/logo, the name of the Cardholder
(faculty/staff/student employee), and the tax exempt number.
• Cardholder buys something with the card and gets a receipt.
• Merchant sends transaction to bank (electronically) for collection.
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• Bank sends transaction data to CSU daily.
• Transactions are fed into the Kuali Financial System as an eDoc (with default
account/object code).
• The Kuali Financial System sends email notification of each transaction to the
Cardholder and assigned “Reallocator”.
• Cardholder notes accounting information on receipt and gives it to the assigned
Reallocator.
• Reallocator reviews transactions on the Kuali Financial System and receipt information
to change account number/object code if necessary.
• Reallocated transactions are sent to Fiscal Officer for approval. Fiscal Officer approves
Kuali eDoc.
• Transactions not reallocated and approved within 21 days will auto post to the default
account/object code.
• Reallocator prints/routes monthly statements, attaches/electronically retains receipt
documentation, and forwards to Cardholder for review and signature.
• Cardholder receives monthly statement, reviews, signs, and forwards to the Approving
Official for review.
• Approving Official reviews and signs monthly statement.
• All signatures must be obtained by the 30
th
of the following month. Statements are filed
in department.
IV. STAKEHOLDERS ROLES AND RESPONSIBILITIES
There are four primary stakeholders in the PCard program: the Cardholder, the Reallocator,
the Approving Official, and the PCard Office. Each stakeholder plays an important role in
the success of the program. Each stakeholder should refer to this program handbook for
details concerning their responsibilities under program rules.
A. Cardholder Roles and Responsibilities
The role of a Cardholder is to make purchases in accordance with the regulations
established by Colorado State University, as well as all federal and state rules, to ensure
accountability to the public and fairness to vendors.
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1. Cardholders responsibilities include:
a. Completing required online PCard Cardholder Training Certification course,
including review of all course materials, lecture presentation, and successful
completion of quiz. Access is granted for the training once PCard Office
receives application for card.
b. Knowing and applying all of the rules related to the PCard program as stated in
this handbook and contained in the on-line training course.
c. Reporting a lost or stolen card IMMEDIATELY to JPMorgan Chase at 1-800-
316-6056. The Cardholder’s department has full liability for all purchases made
before a card is reported lost or stolen. The Cardholder is also responsible for
disputing any charges that are incorrect, not his or hers, or when there is a
dispute with the merchant over the amount charged. Lost or stolen cards and
disputed transactions must also be reported to the PCard help desk.
d. Making purchases within the most current policies of the PCard program as
well as the CSU System (CSUS) Fiscal Rules, University Procurement Rules,
and the University’s Financial Rules and Procedures.
e. Reviewing daily notification emails for unauthorized transactions. Emails are
generated from the financial system.
f. Ensuring merchant documentation is complete and available for every
transaction and giving that documentation to the Reallocator immediately after
the transaction. If the documentation is not immediately available, then the
Cardholder must provide transaction documentation within 15 days of the
purchase.
g. Signing the KFS Cardholder Monthly Statement, by the 30
th
of the following
month, for each cycle that had transactions. Approved methods to sign
statements electronically are Docusign or Adobe Sign (previously
EchoSign/eSign). Adobe Acrobat is not an approved method.
h. Protecting the card at all times to prevent unauthorized use, and not sharing or
authorizing others to use the card.
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i. Returning the PCard to the Approving Official upon termination of employment
with either the department or CSU, OR upon request of the department authority
or the PCard Office.
B. Approving Official Roles and Responsibilities
The appointment as an Approving Official represents the trust bestowed upon that
individual by the University to protect its assets and integrity. Through their oversight,
Approving Officials provide the key point of control to maintain appropriate spending
activities for their Cardholders and to protect their department’s funds. An efficient and
effective approval process requires commitment, coordination, and cooperation
between the Cardholder, the Reallocator, and the Approving Official. An Approving
Official, based upon the level of his or her position, may delegate some
administrative tasks involved in the approval process; however, final authority
and responsibility ultimately rests with the Approving Official.
1. Approving Officials are responsible for ensuring the integrity of the PCard program
by:
a. Completing required Approving Official Training Certification on-line course,
including review of all course materials, lecture presentation, and successful
completion of quiz. Approving Official should contact the PCard Office to take
training.
b. The appointment as a PCard Approving Official is different from an Authorized
Business Function Approver as defined in the CSU Financial Rules.
c. Knowing and enforcing compliance of the rules of the PCard program as stated
in the PCard Program Handbook.
d. Approving a PCard application by determining that the applicant has a true
business need to purchase small-dollar goods or services.
e. Reviewing and approving purchases on behalf of the department within the
most current policies of the PCard program as well as CSUS Fiscal Rules,
University Procurement Rules, and the University’s Financial Rules and
Procedures.
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f. Ensuring that merchant documentation is complete and available for every
transaction, or if the documentation is not immediately available, the
Cardholder must provide transaction documentation.
g. Ensuring that every Statement of Account is reviewed and signed, by the 30
th
of the following month, for each cycle that had transactions.
h. Determining if there were PCard violations and ensuring appropriate action is
taken by the department if violations are found.
i. Ensuring, if applicable, that purchases are allowable under the terms of the
sponsored program account for which the purchase was made.
j. Notifying the PCard Help Desk immediately should any Cardholder under his
or her approving authority leave the employment of the department or the
University, or for any other reason regarding change of a Cardholder’s status.
In addition, the Approving Official must collect and destroy all cards from such
Cardholders.
C. Reallocator Roles and Responsibilities
The Reallocator is responsible for accepting receipts and maintaining all
documentation that relates to the transaction. The Reallocator works with the
Cardholder and the Approving Official to determine if a transaction complies with the
PCard program rules and procedures when an issue arises. Reallocators also are
responsible for reallocating transactions to the correct account and object code.
Reallocators use the Kuali Financial System to allocate the transaction to the correct
account and object code.
1. Reallocator responsibilities include:
a. Reallocating transactions to the appropriate account and object code within the
Kuali Financial System. (Note: the Reallocator and Fiscal Officer have 21 days
(from eDoc creation) to allocate and approve the eDoc. After 21 days the
transaction will auto post to the default account and object code if not approved
by both the Reallocator and Fiscal Officer). After the transaction has posted to
the default account, it cannot be reallocated, but must be modified by General
Error Correction.
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b. Assisting Approving Officials and Fiscal Officers, as needed, to ensure the
integrity of the PCard program by reviewing transactions for compliance.
c. Receiving and taking action on email notifications from the Kuali Financial
System (KFS) alerting them of an eDoc awaiting reallocation.
d. Promptly retrieving receipts from Cardholder.
e. Reallocator retrieves the PCard transaction from his/her Action List in KFS.
f. Allocates to the correct funding source (account and object code).
g. Attaching any receipts, signed hospitality forms, or other required
documentation to the Kuali PCard eDoc transaction.
h. Submitting eDoc into Account Approval Workflow.
i. Maintaining Cardholder files in a secure location for auditing purposes.
j. Informing the PCard Office and Fiscal Officer/Approver of transfers or
terminations.
k. Sending copies of completed and signed Violation forms to the PCard
Administrator to be logged.
l. Working with PCard Office regarding any changes to existing Cardholder
accounts or creation of new accounts.
m. Printing/Routing the KFS Monthly Cardholder Statements and forwarding the
cycle packet to the Cardholder prior to the 30
th
of the following month.
Reallocators will receive an email with an attachment informing them when the
monthly Cardholder Statements are available and can print/route the PDF to
disburse. This email generally will be sent by the 30
th
of each month.
D. PCard Office Roles and Responsibilities
The PCard Office, located in Procurement Services, is responsible for providing
oversight of the program and maintaining Cardholder records (issuing new cards,
making changes, and deleting accounts) for active Cardholders at CSU. The PCard
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Office provides information and support to Internal Audit, Business & Financial
Services, and Purchasing Agents as needed.
PCard staff regularly review transactions for compliance with PCard program rules,
State of Colorado, Federal, and University rules and regulations. The PCard Office also
provides email and phone support to Cardholders, Reallocators, and Approvers via a
help desk. The PCard Administrator works daily with the issuing bank in dealing with
compromised cards, program updates, and reporting through the MasterCard network.
The PCard Office reviews open accounts on at least a semi-annual basis and will close
accounts with limited use, not used at least once per quarter, or with no activity in order
to reduce the risk to the University. It is the responsibility of the Cardholder’s
department head to determine if an employee has a true business need to open an
account; however, if the card is not used, the PCard Office reserves the right to cancel
the card. Notification will be given to both the Cardholder and Approving Official.
The PCard Help Desk can assist in providing reports to the departments, assist with
monthly statements, changing Approving Official permissions, and Reallocator
changes. The PCard help desk can be reached at 491-5752 or via email at
Procurement_Pcard_Help_Desk@mail.colostate.edu
.
V. THE PCARD PROCESS (KUALI TRANSACTION WORKFLOW)
The current process of a PCard transaction in Kuali is shown below. After a merchant settles
with their bank, CSU receives a daily feed from JP Morgan Chase and Kuali eDocs are
created for reallocation purposes. When an eDoc is created a notification is sent to both the
Cardholder and Reallocator alerting them of activity on the card. The Cardholder will review
the transaction in Kuali and click the FYI button to acknowledge the transaction. The
Reallocator has permission to reallocate the charge to the appropriate account and object
code.
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VI. THE PCARD EDOC IN THE KUALI FINANCIAL SYSTEM
The Kuali eDoc is the document used in reallocating and approving transactions made with
the PCard. The eDoc is located in the Reallocator’s action list and can be opened by
clicking the document number. The eDoc information is as follows:
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VII. CARD AUTHORIZATION AND HOW TO MAKE PURCHASES
A. Obtaining Authorization to Purchase
1. Departmental Rules. The Approving Official and/or department head may set
departmental guidelines for card use (such as potential requirements for prior
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approvals, special forms, etc.). The department also sets a single transaction ceiling,
no greater than $3000 per purchase, for each Cardholder. In addition, there are
limits set for (i) the dollar amount a Cardholder can purchase within a cycle, (ii) the
number of transactions allowed per day, and (iii) the number of transactions
allowed per cycle. These were all established when the card was ordered. All cycles
end on the 24
th
day of each month.
NOTE: Cardholders from registered student organizations should call the
SLiCE office for additional instructions on PCard use.
2. Sharing a card or card account number is strictly prohibited!
3. Expenses Related to Authorized Business Functions such as Hospitality,
Training, Recruiting, or other official functions: view the CSU Financial Rules and
Procedures located on the Business and Financial Services website to recognize and
understand the requirements and restrictions for any expenses related to these
activities.
a. Three status levels exist for Expenses Related to Authorized Business Functions
(Hospitality):
• No authority: the PCard may not be used to purchase food, beverages,
entertainment, lodging, training, awards, or recruiting expenses.
• Limited authority: purchases may be made as departmental rules allow,
using those limited merchants where the card is not blocked -- such as
grocery and department stores. Restaurants, hotels, and entertainment
expenses are prohibited.
• Full authority: purchases can be opened up to restaurants and hotels for
promotion and development use such as official functions and recruiting
(NOT travel). This status is obtained via the Official Function Request
Form, submitted to the PCard Program Administrator on behalf of a specific
Cardholder. (NOTE: liquor store purchases are not included with this or any
PCard status).
b. Any such purchases must comply with University Financial Rules and
Procedures, as amended from time to time and located on the Business and
Financial Services website.
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c. Completed Authorized Business Function Form (or customized form
approved by Business and Financial Services; and Signature approval from
an authorized official function approver, which should be obtained in
advance of the expenditure whenever possible.
FOOD, BEVERAGE, AND EVENT RELATED PURCHASES (I.E. MOVIE THEATRE,
ATHLETIC TICKETS, RESTAURANT, MEETING ROOMS, ETC.) REQUIRES USE OF
THE APPROPRIATE OBJECT CODE. SEE FINANCIAL PROCEDURES
INSTRUCTIONS (FPI) 2-1 ON THE BUSINESS AND FINANCIAL SERVICES WEBSITE
FOR GUIDANCE ON THE APPROPRIATE USE OF AUTHORIZED BUSINESS
FUNCTIONS AND RELATED GUIDANCE SUCH AS TIPPING.
4. Charges to Sponsored Programs (53) Accounts. If the Cardholder is making
purchases against a sponsored program account, it is the Cardholder’s
responsibility to make purchases that are allowable under the terms of the
sponsored program award. Always check with your research administrator in
Sponsored Programs if unsure about what costs are allowed to be charged to the
account.
B. Selecting the Merchant
1. Is the product available from any merchant in Shop Catalogs? If yes, use the
Shop Catalogs link in the Kuali Financial System to shop and create an order. The
PCard should not be used for these purchases.
a. The University has provided a procurement avenue for campus users called
Shop Catalogs (e-procurement system) within the Kuali Financial System. The
catalogs represent some of the University’s prime vendors for office supplies,
lab supplies, computer and IT related equipment, and MRO supplies. It is the
University’s preference to limit PCard spend with these suppliers and transition
procurements to Shop Catalogs vendors. PCard is not needed for this purchase
application.
b. To access, click on the Shop Catalogs link in the Purchasing/AP menu on the
Kuali Financial System main page. Training can be obtained at the department
level or via classroom training. Please contact Procurement Services for more
information. A list of current vendors located in Shop Catalogs who have
catalogs available to use can be found by visiting the Procurement Services
website for details.
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2. Is there a minority or women-owned business that can meet your needs? If so,
the use of MBE/WBE vendors is encouraged, especially for sponsored project
related procurements. Please see the University’s Small Business Program on the
Procurement Services website or contact Procurement Services for assistance.
3. Are there vendors that offer discounts to the University? Always ask the vendor
if they offer educational discounts, or contact a Purchasing Agent for assistance.
C. Placing the Order
The PCard is a point of sale transaction process. This means that the Cardholder should
be giving the card information to the supplier at the time of sale. PCard should not be
used to pay invoices for goods/services that have already been delivered or
rendered. Cardholders may place orders in person, by phone, fax, mail, or internet.
Cardholders should use caution when submitting their card number over the internet or
fax. Use “secured connections” on the internet and be familiar with the vendor’s
reputation.
1. Inform the merchant that the purchase is tax-exempt. The tax-exempt number
(98-02381) is printed on the card. Remind the merchant that this is a Colorado
State University purchase and should be accorded any applicable tax exemption. If
the vendor needs the University’s Tax Exempt Certificate, it can be found on the
Business and Financial Services website.
2. Cardholder must give his or her name as it appears on the card.
3. Give accurate delivery information, including department name and the four-
digit Campus Delivery code. (This number is important for Central Receiving to
promptly deliver goods received.)
4. Do not make cash-on-delivery (COD) purchases; Central Receiving will refuse
such deliveries.
5. Do not photocopy the credit card, due to potential increase of identity theft. If
a vendor states that they require a photocopy of the card, do not complete the
transaction. A Purchase Order will need to be created instead.
6. Request documentation showing description and cost of each item.
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7. If the vendor requests a “billing address”, the vendor may be attempting to
verify the card by matching information on file at the bank with the
information provided by the Cardholder. The transaction may be declined if the
exact address is not given. ***Give the exact billing address information as it
appears on the card (on file at the bank) or contact the PCard Office at (970)
491-5752 for assistance.
D. Receiving the Goods
Inspect all goods promptly upon receipt. If there is a problem with the order, the
Cardholder must contact the merchant immediately.
VIII. SERVICES, MAINTENANCE, AND RENTAL
A. Authorization to Purchase
Lease agreements cannot be paid using a PCard. Service, maintenance, and equipment
rental transactions may be purchased with the PCard, provided the following
requirements are met:
1. The total cost of the entire service and maintenance commitment CANNOT
exceed your single transaction limit. This includes yearly maintenance for
equipment such as fax machines, printers, etc. If you are agreeing to pay
periodically in installments, and the total of all installments exceeds the single
transaction limit, you must use a Purchase Requisition.
2. Rentals must be less than three months in duration and non-recurring. The
total rental contract cost cannot exceed your single transaction limit, as noted above
for service/maintenance agreements.
3. The rental is not for moving vehicles/trailers such as U-Haul.
4. There is no written agreement requiring the University’s signature. Written
contracts requiring signature must be submitted to Procurement Services for review
and consideration.
5. The transaction is reallocated to a proper services object code.
6. Departments are responsible for determining the level of risk to the University
when using the PCard for the purchase of services. Unless a waiver has been
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granted by CSU Risk Management in advance, the department must obtain a
Certificate of Insurance from every service provider.
To summarize: Any service, maintenance, or rental agreement whose total contract
value is greater than the Cardholder’s single transaction limit, and
lease agreements of any amount, can only be purchased via a
University Purchase Order (prepared from a purchase requisition).
B. Authorized Signature
Departmental personnel are never authorized to sign written vendor agreements. Any
agreement requiring the University’s signature must be submitted to Procurement
Services for review and consideration. Unauthorized signing of vendor contracts
without a proper delegation will result in a PCard violation and possible revocation of
the PCard.
C. Clickwrap Agreements
Departmental personnel are authorized to enter into clickwrap agreements as long as
the agreement is within the Cardholder’s single transaction limit. A clickwrap
agreement (also known as a “clickthrough” agreement or clickwrap license) is a
common type of electronic agreement mostly found on the Internet. Most clickwrap
agreements require the end-user to agree or accept terms and conditions by clicking an
“ok” or “agree” button on a dialog box or pop-up window.
D. Master Rental Agreements
Colorado State University establishes master rental agreements with certain vendors
for commonly purchased equipment rentals. The PCard may be used with these
specific vendors. Only the master agreement is applicable to rentals from these vendors
– individual contracts are not required. A list of master rental agreements is available
on the Procurement Services website.
E. Publications and Printing Policy
Central Communications Policy: Purchases of print, photocopier services,
photography, video, and electronic media must flow through the University’s central
communications group, the Division of External Relations. External Relations staff are
charged with creating publications, websites, social media, and other communication
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vehicles that meet the requirements of the University’s Brand and Graphic Standards
Program.
NOTE: Procurement Services considers the purchase of Graphic Design Services,
Printing, and Photocopying as the purchase of services, not a commodity. In
accordance, the procedure for procuring these services is subject to the
following general guidelines.
The following University policy applies to all University communications purchases
made with APOs, POs, or PCard. Procurement Services will assist with the
enforcement of this policy by monitoring purchase requests for advertising and printing
services and referring all such requests to Creative Services (CS) for policy compliance.
CS will contact each user and assist in as expeditious a manner as possible. This will
include random audits by the PCard office and findings will be forwarded to CS.
POLICY
Central Communications Policy (originally approved July 2, 2002 by EBC): This
policy requires that Communications and Creative Services (CCS) must be consulted
at the beginning of all communication initiatives and branding efforts regardless of
amount and before they are produced. This includes communications to both internal
and external audiences. Elements of this review include: 1) adherence to University
graphic standards; 2) proper use of copyright, logo, and branding; 3) consistency with
University marketing goals; 4) production quality improvement recommendations; and
5) cost effective pricing. Contact Creative Services, 1-6432 for additional questions
and requirements. Creative Services will have first right of refusal of all
communication work – as defined above – that is purchased with University funds.
F. Logo Licensing Information
Information for Ordering Departments
To produce items bearing the University name, trademarks, or logos, vendors must be
officially licensed. Unlicensed vendors that produce Colorado State University items
are in violation of state and federal trademark law. T-shirts, novelties, and other
specialty items produced by or on behalf of University entities for events,
identification, marketing, or fund-raising purposes must display the official "Colorado
State University" logo, in addition to any other logos or designs. Items intended for
internal use (e.g. uniform shirts, giveaways, or organization/club T-shirts) are exempt
from royalties. Items intended to be sold externally (e.g. T-shirts for fund raising) are
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subject to royalties. All items bearing the University’s logo, marks, or graphics must
be produced by an existing licensee. Procurement Services or the Licensing Program
Office can provide a list of current licensees. See the Creative Services website for
more information.
G. Non-Employee Travel Expenses
Due to stringent University requirements, use of the PCard for non-employee hotel
lodging and shuttle expenses (for visitors, recruits, etc.) is highly discouraged.
However, it is allowed provided the following criteria are all FULLY met:
1. Cardholder must have full Hospitality/Official Function privileges on the card.
2. Cardholder must have pre-approval from supervisor.
3. The use of the card is for hotel charges and transportation to and from airport.
(Examples include charges for guest speakers, campus visitors, recruits, etc.).
4. Car rentals are not allowed. No moving expenses or U-Haul type rentals are
allowed.
5. A proper, fully itemized receipt ("folio") is obtained for the charges.
6. All charges comply with University policy and are for the direct benefit of the
University (i.e. no movie, gift shop, spa charges, valet, phone, alcoholic beverages,
personal phone calls, etc.).
7. The State of Colorado tax exemption is applied when services are billed and
delivered within the State.
8. See Financial Procedures Instructions (FPI) 2-1, Expenses for Authorized Business
Functions, on the Business and Financial Services website for additional
requirements.
NOTE: PCard should not be used for any extended stay lodging, house rentals, or
student travel expense.
IX. PCARD DOCUMENTATION GUIDELINES
Transaction Documentation. The following items are required to document each
transaction (every transaction must have valid and complete documentation from the
merchant):
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Valid source documentation may be:
• Receipt and/or card transaction slip from the merchant.
• An order form for dues, subscriptions, registrations, or similar items.
• An invoice showing credit card payment. An invoice is valid source documentation
if it was provided as your confirmation of payment. The PCard should not be used
to pay invoices for goods or services already rendered.
• E-mail confirmation from the merchant for internet transaction.
All documentation must include the following information (you must hand write if not
printed on the documentation):
• Vendor identification (merchant name)
• Date the purchase was made.
• Description and quantity of each item purchased.
• Per item cost, if available from the merchant.
• Total cost of the order.
• Cardholder name.
NOTE: If the original documentation has been lost or if the merchant did not provide
documentation, contact the merchant directly to obtain a replacement. If
suitable documentation is not obtainable, the Cardholder must complete an
Unavailable Transaction Documentation Form, which must be signed by the
Approving Official.
Lack of original documentation due to willful or negligent default may be considered a
violation under the program rules.
Digital documentation must be retained as a TIFF or PDF file.
X. DISPUTED TRANSACTIONS
The Cardholder is responsible for contacting JPMorgan Chase to initiate the dispute
process and notifying his or her Reallocator. A dispute can be processed via phone. An
attempt should always be made to resolve the dispute with the merchant, prior to reporting
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the dispute to the bank. The Dispute Department can be contacted by calling the 800# on
the back of the card and giving them the last 4 digits of your CSU ID#. The bank should
immediately issue a credit for the dispute, pending correspondence with the merchant.
Reasons for Disputes:
The following may be formally disputed with JP Morgan Chase.
• Unauthorized charges, fraudulent charges, and unrecognized charges including
phone or mail order charges
• Difference between dollar amount authorized and dollar amount charged
• Duplicate charges
• Un-received goods
• Defective merchandise
• Altered charges
Both the charge and the credit need to be reallocated to the Cardholder’s departmental
account in the Kuali Financial System and will be listed as separate eDocs. There is no
mechanism in the PCard eDoc to code a transaction as a disputed transaction. Reallocators
and/or Cardholders may add a comment in the notes section for future reference.
XI. EXCLUDED MERCHANT TYPES
All MasterCard merchants have chosen a four-digit Merchant Category Code (MCC) that
generally identifies the types of goods or services they provide. CSU has elected to block
purchases from merchants with MCCs related to certain kinds of transactions. An attempt
to purchase anything from these types of merchants should be declined.
NOTE: Merchant categorization by MCC can vary and may result in transactions being
processed in conflict with the excluded merchant and transaction violation lists
contained in this handbook. For example: a Cardholder shall not buy alcohol
from a packaged liquor store even though the transaction can be processed.
• Banks, ATMs, financial institutions, insurance companies, legal services
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• Travel related merchants – airlines, railroads, bus lines, taxis, cruise lines, car rental
companies, hotels, motels, travel agencies
• Automotive merchants – automobile dealers, U-Haul type merchants, gas stations,
and repair shops
• Eating places (except full official function status) – restaurants, bars, cocktail
lounges, nightclubs, and fast-food restaurants
• Packaged liquor stores, duty free stores, tobacco stores
• Furniture merchants – furniture stores, repair shops, and part stores
• Dating and escort services, counseling services, massage parlors, health and beauty
spas, computer-dating services, gambling establishments, and other such personal
uses
• Construction related contractors – including heating, electrical, and plumbing
related services
XII. TAX EXEMPT STATUS
Colorado State University should receive tax exempt status if purchased goods or services
are billed and delivered within the state of Colorado. PCard transactions that result in goods
or services delivered outside of the state of Colorado may be subject to that state’s sale tax.
Please remind merchants of your tax exempt status when completing your transaction. The
Colorado State Tax Exempt Number is embossed on the Cardholder’s card. If the merchant
requires additional information regarding Colorado State University’s tax exempt status,
visit the Business and Financial Services website for the CSU tax information letter and
certificate. Tax Services (Business and Financial Services) can assist with any questions
regarding tax exempt status.
If a Cardholder is charged tax for goods and services billed and delivered in Colorado and
the tax is less than $20.00, an attempt must be made to recover the tax from the merchant
and this attempt must be documented. If successful, the merchant shall credit the card for
the amount of tax charged. No cash refunds or store/merchant credit shall be accepted. If
unsuccessful or the merchant refuses to credit tax back to the card, written documentation
of the attempt should be attached to the receipt. The Cardholder/Reallocator may handwrite
on the receipt if needed. Tax being charged on the Cardholder’s purchase(s),where a tax
exemption should have applied, may be deemed a violation by the Approving
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Official/PCard Office if it is determined that there is willful negligence by the Cardholder
or if there is no documentation to support an attempt to recover the tax.
If a Cardholder is charged tax for goods and/or services billed and delivered in Colorado
in which the tax is $20.00 or greater, the tax must be recovered via refund provided by the
merchant, via reimbursement to the University by the Cardholder, or by the department
requesting a refund directly from the State. Please contact the University Tax Manager for
documentation on how to recover tax directly from the State. Completed documentation to
recover tax must be attached to the KFS document.
The following procedures are to be followed to request tax exempt status with online
merchants at the individual Cardholder level:
• Cardholder will create an individual account with an online merchant by using
his/her colostate.edu email address. The Cardholder will follow each merchant’s
guidelines for requesting tax exempt status.
• Cardholder will only conduct University business using their colostate.edu email
address. Personal business with the same merchant must use a personal email
account (i.e., Yahoo, Gmail, Hotmail, etc.).
• Cardholder agrees not to post any comments, feedback, or reviews related to
purchases made for University business.
• Cardholder agrees not to use the University’s tax exempt status for personal
purchases. Such purchases will be considered fiscal misconduct and will result in
revocation of the PCard and may result in employment disciplinary action, criminal,
and civil prosecution.
XIII. PCARD VIOLATIONS POLICY
All Procurement Card Program participants including Cardholders, Reallocators, and
Approving Officials are required to know and follow the Procurement Card Program
Policies, including those defining violations and their consequences. It is the responsibility
of the Cardholder, Approving Official, and the Reallocator to review documentation for
each transaction in order to identify violations in card use. The review must be conducted
for ALL transactions in each billing cycle.
If an Approving Official or Reallocator determines that a violation has occurred, he or she
must issue a Violation Warning Form to the Cardholder. An Approving Official or
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Page 23
Reallocator may also contact the PCard Office directly and confidentially to discuss a
potential violation before issuing a violation warning to the Cardholder.
The PCard Office will regularly review transactions for possible violations and may request
specific documentation to determine if a violation has occurred. The PCard Office will
contact the Approving Official to discuss the violation. The PCard Office will also work in
conjunction with Internal Auditing in reviewing procurement card transactions and will
provide assistance in gathering information and offering recommendations for violations.
The Violation Warning Form must be completed and signed by the Cardholder and
Approving Official and then:
• One copy of the violation form will be sent to the PCard office.
• One copy of the violation form will be retained in the department files with receipt
documentation and will also be scanned and attached to the Kuali eDoc.
Transactions categorized as Violations (except fraudulent purchases, which will result in
an immediate cancellation of the card) will result in revocation of the card for up to one
full year (12 months) upon the 3
rd
documented violation. Issuance of a new card may occur
after department head/director provides justification for new card, new card application,
and successful completion of PCard training by applicant.
XIV. VIOLATIONS
A Violation Warning form is to be completed by the Cardholder and signed by their
Approving Official for any of the following violations. The Approving Official and the
PCard Administrator will determine the future status of the card, requirements for
additional training, or other possible consequences to regain compliance. Approving
Officials will send a copy of the signed Violation Warning Form to the PCard
administrator.
Cardholders are expected to exercise sound business judgment and to make inquiries
to Procurement Services and/or Business & Financial Services before making any
purchase that may be construed as inappropriate, or which the Cardholder does not
know to be reasonable and necessary for the official business purposes of the
University. Transactions that will be deemed violations include:
1. Personal Purchases – Personal purchases are never permissible, even if the
Cardholder intends to reimburse CSU later. A personal purchase must be reported
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Page 24
immediately upon discovery to the Approving Official and the PCard Program
Administrator. The Cardholder must immediately reimburse the University or arrange
for an immediate credit transaction from the merchant. A personal purchase is a PCard
Violation and may be suspected fiscal misconduct (see the CSU Financial Rules and
Procedures for Reporting of Fiscal Misconduct). A personal purchase will be cause for
revocation of the PCard upon the first violation, and may result in employment
disciplinary action, criminal and civil prosecution. Any suspected fiscal misconduct or
abuse of the card for personal purchases must be reported immediately to the PCard
Administrator by any person who becomes aware of it. Please store your PCard in the
provided credit card sleeve to avoid confusion.
2. Cash or Cash-Type Transactions – Examples are additional cash with purchase,
cash refunds, cash tips, travelers’ checks, gift cards, donations, money orders,
RamCash, and gift certificates. A cash or cash type transaction is a PCard Violation
and may be considered fiscal misconduct as noted above. A cash type purchase will be
cause for immediate cancellation of the PCard.
3. Gift/Gift Card with Purchase – Any gift and/or gift card received from a purchase
expending University funds becomes the property of the University. The gift/gift card
must be surrendered to Procurement Services upon receipt. Failure to surrender the
gift/gift card at time of receipt will be cause for immediate revocation of the PCard.
4. Splitting the Transaction – A split purchase occurs when a Cardholder’s transactions
exceed $3,000 (or their single purchase limit) for a single purchase (including
shipping). A single purchase over $3,000 must be purchased through the Kuali
Financial System using a purchase requisition. A Cardholder should use good judgment
when determining their purchase needs. Contact Procurement Services if there is any
question in defining a single purchase.
A single purchase need identifies a group of items that are similar enough in nature to
be purchased from a single source and that are all known to be needed at the time of
the first purchase transaction. Purchases cannot be split based on different project or
program numbers, different recipients, different delivery locations, differing
functionality of the items, etc.
For example, a Cardholder shall not purchase two $2000 pumps from a
single source using two separate transactions if both pumps are known to
be needed at the time of the purchase (and, therefore, the total purchase
need is known to be $4000). A Cardholder shall not split purchases over
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Page 25
time or over sources with the intent to circumvent his/her single purchase
limit).
5. Employee Travel and Travel-Related Expenses - Cardholders cannot use their
PCard for employee travel and related expenses. Examples are airfare, vehicle rental
(including the rental of moving trucks), parking fees/permits or services, meals, travel
visas, passports, employee lodging, etc. Cardholders using the PCard for employee
travel expenses will be reported to the University Controller and the PCard may be
revoked.
6. Card Sharing - Cardholders should NEVER share their card or card number with other
individuals for use. Only the designated Cardholder is allowed to use his or her PCard.
7. Improper Transactions - These types of transactions go against University and state
policies due to the nature of the transaction or business rule. Improper purchases will
require completion of a Violation Warning Form to be signed by the Cardholder and
Approving Official and forwarded to the PCard Office.
• Furniture (desks, height-adjustable desks/tables, chairs, conference, lounge,
cubicles, office, patio, desktop height-adjustable stands, etc.)
• Parking charges (fees, employee parking permits, services, and fines).
• Vehicle expenses – examples are vehicle rental, E-470 tolls, toll ways, fuel,
repairs, and vehicle/trailer purchases.
• Pre-Paid Phones or Phone Cards, long distance, and pay-phone calls.
• Drug Enforcement Agency licensed substances, medical drugs, and narcotics.
• Radioactive materials and restricted chemicals.
• Animals purchased for teaching, testing, or research unless granted an
exception by IACUC. See IACUC Policy on Purchasing Animals.
• Materials to construct or remodel a University owned or leased facility.
• Construction Contractors to construct or remodel a University owned or
leased facility.
• Guns and ammunition.
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Page 26
• EBay or online auction transactions where bidding is required. “Buy it Now”
transactions are permissible.
• Printing services without a waiver from Communication and Creative
Services during CSU business hours. Exception: Copy Rite located on
campus is allowed.
• Cell-phone air time charges.
• Memberships purchased by CSU, either in CSU’s name or in an employee’s
name, (Sam’s Club, Costco, Amazon Prime, etc.) where the membership
conveys a potential personal benefit to the employee. It is impermissible for an
employee to apply for a membership in CSU’s name and then use any part of
the membership benefit for personal transactions (whether or not a PCard is
used to pay for the membership). See CSU Financial Rule 2.1.1.3. It is also
impermissible for an employee to use their personal membership in
combination with a PCard.
• Willful negligence, determined by the Approving Official/PCard Office, with
non-compliance of turning in receipts or providing valid and complete receipt
documentation.
• Willful negligence, determined by the Approving Official/PCard Office, with
non-compliance of University tax exempt status. (See Section XII)
• Non-compliance with the FPI on Authorized Business Functions.
Cardholders must adhere to the policies set forth by the State of Colorado, CSU, and
any additional internal policies at the department level. If a department has additional
controls, it is the department’s responsibility to communicate to their Cardholders these
policies and enforce them consistently. Failure to comply with the current PCard
program policies set forth in the Cardholder Agreement will constitute a violation and
possible revocation of the card.
XV. CARDHOLDER MONTHLY REPORTS
The current PCard cycle with JP Morgan Chase runs from the 25
th
of each month to the
24
th
of the following month. Around the 30
th
of each month, the designated Reallocator for
the Cardholder will receive a system generated email that will contain an attachment listing
the Cardholder’s transactions for the cycle. Transactions will appear whether they have
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been reallocated to “final” or “enroute”. If a Cardholder had no transactions for the cycle,
a report will not be generated.
Reallocator responsibilities include:
• Prints/Routes Cardholder Monthly Statement from system generated email for each
Cardholder that they are assigned.
• Verify that all receipts have been obtained and scanned into KFS for the
transactions.
• Attaches receipt documentation to Cardholder Monthly Statement.
• Routes Cardholder Monthly Statement and receipt documentation to Cardholder
and Approving Official for review and signature.
Cardholder responsibilities include:
• Cardholder’s signature by the 30
th
of the following month.
• Verify that all receipts have been obtained for the transactions.
• Verify that all transactions are yours and were made for CSU business purposes
only.
Approving Official responsibilities include:
• Approving Official signature by the 30
th
of the following month.
• Verify that all receipts and documentation are accounted for.
• Verify that all transactions were for CSU business purposes only and were within
the PCard program rules.
The signed Cardholder Monthly Report along with the scanned receipts in KFS will serve
as the official record for audit purposes. Failure to provide receipts or signed signatures by
the 30
th
will result in an audit finding. Cardholder and Approving Official signatures by
the 30
th
of the month are a key component in maintaining the integrity of the program.
Example: A Cardholder Monthly Statement for November (October 25 through
November 24) would need to have both Cardholder and Approving Official
signatures by December 30
th
.
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XVI. COMPLIANCE REPORTING HOTLINE
Colorado State University is committed to conducting its affairs transparently, ethically
and in compliance with all laws, regulations, and University policies. All members of the
University community are expected to share in this responsibility and to help prevent,
detect, and address violations. Consistent with this commitment, the University provides
the Compliance Reporting Hotline for employees, students, and constituents to report
issues, in good faith, regarding compliance with laws, regulations, and substantive
University policies. This reporting mechanism allows people to report issues
anonymously if they wish to do so. The issues reported will be reviewed by the
appropriate University officials to determine if further investigation and actions are
warranted. The University takes every allegation of illegal or unethical conduct seriously.
There may be instances when you suspect that a University employee's conduct is not in
compliance with applicable laws, rules, regulations, or policies. To report suspected
compliance violations of any kind, including violations related to ethics policy, financial
reporting, internal accounting controls, or audit matters, please go to the Compliance
Reporting Hotline page.
What is Reportable?
Members of the campus community may use the Reporting and Compliance Hotline
mechanisms to report the following types of issues:
• Fiscal misconduct by University employees
• Abuse of time and other resources
• Violations of federal or state law or regulations
• Serious or recurring violations of University policy in the performance of University
duties
• Research or scientific misconduct
• Waste of University resources, funds, or property
• Serious or recurring abuse of University authority
• Public safety issues
