Chapter 2.67
PROCUREMENT CARD POLICY
Sections:
2.67.030 Control of procurement cards.
2.67.040 Use of town procurement cards.
2.67.050 Payment of the town’s procurement card balances.
2.67.010 Generally.
This procurement card policy shall govern the use and control of procurement cards by officials, employees, and agents of the town of Whitestown, Indiana (“town”). [Res. 2016-29 (Exh. A)]
2.67.020 Procurement cards.
Procurement cards may be used by the town that are in compliance with this policy. For purposes of this policy, a procurement card means a system by which a unique single-use credit card number is provided to a vendor or contractor for the one-time payment of an authorized claim of the town, and which requires authorized town officials to control, direct, and limit the disbursement, recipient, timing, payment amount, and source of funds that may be transferred. [Res. 2016-29 (Exh. A § I)]
2.67.030 Control of procurement cards.
A. The town clerk-treasurer (“clerk-treasurer”) shall control and be responsible for the issuance and use of the town’s procurement cards in accordance with this policy.
B. The clerk-treasurer shall maintain an accounting system or log including (where applicable) the names of individuals or entities to whom the town’s procurement cards have been issued, their positions, amounts to be charged, fund and account numbers to be charged, date the card is issued and returned, and any other relevant information.
C. Each separate payment through a procurement card shall not exceed the individual amounts authorized by the town council through the claim approval process.
D. The clerk-treasurer, deputy clerk-treasurer, and town manager shall be the only officials authorized to approve the payment or release of funds through a procurement card. [Res. 2016-29 (Exh. A § II)]
2.67.040 Use of town procurement cards.
A. All uses of procurement cards must be for town business only. Under no circumstances may town procurement cards be used for personal or any non-town purposes. The following constitutes appropriate purposes for which town procurement cards may be used:
1. Purchase of equipment, supplies, and/or services.
2. Travel and business meal expenses.
3. Subscriptions and fees.
4. Training expenses.
5. Postage and shipping expenses.
6. Any other payments authorized after approval of a claim by the town council.
B. When the purpose for which the procurement card has been issued has been accomplished, the procurement card should be voided or returned to the custody of the clerk-treasurer.
C. The town’s procurement cards shall be used in conjunction with the town’s accounting system. Procurement cards shall not be used to bypass the town’s purchasing system, or town rules and regulations relating to purchasing agents, purchasing processes, and procedures.
D. Procurement cards shall not be used to procure cash advances or at ATM machines or as a debit card.
E. An audit trail must exist for all transactions, including changes made by an “administrator.”
F. Purchase card agreements shall not contain references to debt.
G. A sponsoring bank shall make available to the town a copy of all “SAS 70” or equivalent audits. [Res. 2016-29 (Exh. A § II)]
2.67.050 Payment of the town’s procurement card balances.
A. Payments made with the town’s procurement cards shall be paid pursuant to the same procedures used for paying any other claim. Payment of the town’s procurement card shall not be made on the basis of a procurement card statement or procurement card slip alone. Supporting documents such as paid bills and receipts must be available and attached to the bill for reconciliation and payment.
B. Any interest or penalty incurred due to late filing or furnishing of documentation by an officer or employee should be the responsibility of that officer or employee.
C. The clerk-treasurer shall pay the procurement cards promptly upon authorization of applicable claims by the town council so that no interest carrying charges or penalties will be incurred due to late payments. Any interest or penalty incurred due to the late filing or failing to furnish complete and accurate documentation by a town officer or town employee shall be the personal responsibility of that town officer or town employee issued or using the procurement card. Improper or undocumented purchases shall also be the personal responsibility of the town officer or town employee issued or using the procurement card, and shall further be subject to disciplinary action, up to and including termination of employment.
D. If properly authorized, an annual fee for the town’s procurement card may be paid. [Res. 2016-29 (Exh. A § III)]