Chapter 3.74
CREDIT CARD USE

Sections:

3.74.010    Purpose

3.74.020    Definitions.

3.74.030    Credit card use.

3.74.010 Purpose.

The purpose of this chapter shall be to set forth the policy of the city of Sultan for the use of credit cards by elected officials, appointed officers and city employees. This chapter shall be interpreted to provide for the use of credit cards by authorized persons to the fullest extent allowed by RCW 43.09.2855 and 42.24.115. (Ord. 1271-17 § 1)

3.74.020 Definitions.

“Credit card” means a charge card issued by a local bank for purchases.

“Open charge account” means an account established with a vendor that will charge authorized expenses directly to the city.

“Personal purchase” means items that are not intended for use by the city or for city purposes. (Ord. 1271-17 § 1; Ord. 949-07 § 1. Formerly 3.74.010)

3.74.030 Credit card use.1

A. The city administrator and finance director shall implement and maintain the following system for the distribution, authorization and control of credit cards issued to or for the benefit of the city and used by city officials and employees:

1. Distribution. Credit cards may be distributed to those city officials, and employees, who, in the opinion of the mayor, or his/her designee, have job responsibilities that would benefit or otherwise be facilitated by use of a credit card.

2. Authorization and Control. The mayor or his/her designee shall develop specific administrative guidelines and accounting controls to ensure the proper usage of credit cards and credit card funds. The credit card is to be used when it is in the best interest of city administrative affairs.

3. Credit Limits. The mayor or his/her designee shall set credit limits on each card issued subject to the approval of the city council. Individual purchases shall not exceed $1,000 without the pre-approval of the city administrator. The credit card limit shall not exceed $5,000 for any individual credit card account.

4. Credit Card Restrictions. The following will be considered an unauthorized purchase or use of any city purchasing/credit card:

a. Cash advances;

b. Payment of invoices or statements;

c. Purchases where an open charge account could be utilized;

d. Personal purchases of any kind.

5. Disallowed Charges. Disallowed charges, or charges not properly identified, will be paid by the employee before the charge card billing is due. Failure to do so will render the employee personally liable and where the city shall have a prior lien against and a right to withhold any and all funds payable or to become payable to the employee up to the unpaid amount, plus interest and/or fees at the rate charged by the bank that issued the cost. Employee shall not use the credit card if any disallowed charges are outstanding or if the card has been revoked.

The act of obtaining a city credit card does not indicate pre-approval of expenses or expenditures.

6. Return of Credit Card. The employee shall return all city credit cards at the request of the mayor or his/her designee, or upon separation of employment. Final paycheck will be held until all outstanding city property has been returned.

B. The city administrator and finance director are authorized to implement any additional policies or administrative procedures necessary to implement the provisions of this section subject to the approval of the city council. (Ord. 1271-17 § 1; Ord. 949-07 § 2. Formerly 3.74.020.)


1

Code reviser’s note: Ordinance 1271-17 sets out these provisions as SMC 3.74.020. The section has been editorially renumbered to avoid duplication of numbering.