PROCUREMENT CARDS
Procurement cards will be issued only to the administrator who has budget authority for a school, department, or a program. The cards will be issued in the name of the Bellingham School District, with the name of the school or department also embossed on the card. The Finance Department will review and approve all new or multiple card requests from school buildings or departments. However, cards with a low annual usage may be canceled.
Cardholder:
Each card will have a Cardholder, who is the administrator with budget authority for the card. The Cardholder is responsible for approving all card purchases and for authorizing the payment of monthly charges.
Card Custodian:
Each card will have a Card Custodian, who will be responsible for the day-to-day control of the card. The Card Custodian is responsible for maintaining and preparing the proper documentation for the reconciliation of monthly statements by the Cardholder.
Card User:
The Card User is the individual who uses the procurement card. In some rare occasions, one individual could be the Cardholder, Card Custodian and Card User.
Examples:
Principal 鈥 Cardholder
School Administrative Assistant 鈥 Card Custodian
Teacher needing the card for a field trip 鈥 Card User
USES OF PROCUREMENT CARDS
Allowable Purchases:
The procurement card may be used only to make purchases that are currently allowable under the purchase order, Imprest account or expense reimbursement processes. Purchases are for District use only.
The procurement card shall not be used for:
- salaries or wages
- cash advances
- personal services
- consultants
- gifts and gift cards (except recognition items, which are allowable in accordance with Policy 6240)
- donations
- employee meals and vehicle expenses incurred during travel 鈥 (all meals and mileage is reimbursed at per diem through the Travel/Expense Reimbursement process)
- Amazon purchases (utilize District e-commerce account)
Generally, the procurement card will be accepted wherever credit cards are accepted; however, the District has the ability to limit the use of the card by vendor category. If for any reason a vendor refuses to accept the District鈥檚 procurement card, please contact the Finance Department at (360) 676-6541. We will determine the reason for the refusal and attempt to resolve the issue with the vendor.
Credit Limits:
The standard credit limits are as follows:
| Cardholder | Maximum Per Transaction | Maximum Per Month |
| Elementary | $1,000.00 | $5,000.00 |
| Middle | $1,000.00 | $7,000.00 |
| High | $2,000.00 | $10,000.00 |
| ASB | $5,000.00 | $20,000.00 |
| Departments | $2,000.00 | $10,000.00 |
| Ed Tech | $5,000.00 | $20,000.00 |
| Finance Department | $50,000.00 | $150,000.00 |
| Gas Cards | $200.00 | $2,000.00 |
Do not attempt to circumvent these limits by asking the vendor to split the order.
Administrators may request a temporary increase to their transaction limit for a particular purchase by contacting the Finance Department at (360) 676-6541.
PROCUREMENT CARD CHECKOUT PROCEDURES
At the building or department level, procurement cards may be checked out from the Cardholder or Card Custodian for authorized usage. Procurement cards that are checked out can be used for purchases with local vendors, online or for field trips.
A Cardholder may authorize the Card Custodian to make purchases on behalf of the building/department up to the specified dollar amount or check the card out to an employee (Card User) for authorized use. An employee wishing to use a procurement card (Card User) must follow these procedures:
- Review Procurement Card User Agreement 6212F-3 and sign the accompanying log. This must be kept on file with the Card Custodian. There must be a log entry for every employee that has been authorized to use the card.
- Check out a card from the Cardholder or Card Custodian and sign out on a Procurement Card Check Out Sheet. The Card Custodian is responsible for maintaining this log.
- Ensure the original purchase receipts are returned with the card to the Card Custodian in a prompt manner.
Only District employees are allowed to use a District procurement card.
RECORDKEEPING REQUIREMENTS
At a minimum, each school or department using procurement cards must maintain the following documents at their site:
- Procurement Card User Agreement (6212F-3) 鈥 signed by every District employee who is allowed to use the card
- Procurement Card Check Out Sheet
All purchases must be documented with an accompanying receipt detailing the vendor name, items purchased and the amount paid. Accompanying receipts should be scanned and attached to the transaction in Skyward using pdf format only. The State Auditor鈥檚 Office requires original, detailed receipts to substantiate each purchase.
- Documentation showing approval of purchase by the budget authority (email approval or signed receipt copy, if the budget authority is not the Skyward approver).
- For local purchases, original detailed receipt. Original receipts will be kept with the Finance Department.
- For online purchases, detailed electronic receipt should be attached to the Skyward submission and goods should notated as received. This includes digital products.
- All orders must be shipped directly to the building or Warehouse. No orders may be shipped to a personal address.
RECONCILING STATEMENTS TO RECEIPTS AND APPROVING PAYMENTS
Regular review:
Schools and departments must reconcile procurement card charges at least weekly and no later than the last working day of the week. The Card Custodian at each school or department will have access to current transactions on cards issued to that site via the Skyward credit card module. Failure to reconcile and approve payments consistent with these procedures may result in cancellation of the card:
- Match to Receipts: The Card Custodian must match transactions in Skyward to original receipts on file and include the description of the charge.
- Check Account Code: Assign the appropriate account code for each transaction in the account distribution section of 鈥淒etailed Lines,鈥 found in the Skyward credit card module.
- Attach Back Up Files as Pdfs: No photos, email files, jpegs, links, etc.
- Obtain Approval of Charge: It is the Card Custodian鈥檚 responsibility to ensure that all charges have been reviewed and to obtain approval from the Cardholder for payment.
Weekly Review:
Forward original receipts to the Finance Department. Retain a copy along with the other procurement card documentation (original receipts, signed credit card slips, etc.). These should be filed by month for easy access and review by the auditor.
Dispute Resolution:
If incorrect charges are found during the regular review, contact the vendor immediately to resolve any discrepancies. If you cannot resolve the issue with the vendor within one business day, call the Finance Department. The Finance Department will contact BMO/Harris Bank and pursue resolution on your behalf. The disputed item will be reflected in subsequent statements鈥 outstanding balance but will not be included in the total amount due.
BMO/Harris Bank will send a letter to the Finance Department requesting specific information regarding the disputed charge. The Cardholder or Card Custodian will provide detailed information to be returned to BMO/Harris Bank.
When the dispute has been resolved, any credit will be put on the next statement with an explanatory note. The outstanding balance will be adjusted by the credit amount to reflect the final settlement of the disputed item.
SAFEGUARDING PROCUREMENT CARDS
Procurement cards must be kept in a locked secure storage area when not in use.
In case of theft or loss, the Cardholder or Card Custodian must notify the loss to the Finance Department (360-676-6541) immediately but not later than the following business day.
In the event of a transfer or a separation from employment of a Cardholder, Card Custodian, and/or Card User, notify the Finance Department immediately and return the card to the Finance Department.
Misuse of the procurement card may result in any or all of the following actions:
- cancellation of the card
- discipline of the Cardholder
- personal liability for improper charges