UMB VISA Procurement Card Policies and Procedures

Back to Top

General Information

Revision 1.7
12/02/2016

Definitions

Audit Review of procurement card transactions by Financial Affairs, internal (College) and external auditors for compliance with sound business practices and procedures.
Authorized Approver Approval authority for card applications and transaction review; this includes President, Vice President, Provost, Dean, and Director.
Business Purpose One that supports or advances the goals, objectives and mission of NYIT; and adequately describes the expense as a necessary, reasonable and appropriate business for NYIT. An appropriate business purpose is required for every transaction reconciliation in Intellilink and is comprised of the 4 W's (see below).
Cardholder NYIT employee who has been issued a procurement card and is authorized to make purchases in accordance with P-Card policies and procedures.
Capital Equipment Capital equipment is defined as equipment, computer systems, furniture and/or fixtures generally costing more than $2,500; the item has a "useful life" of at least three (3) years and does not get consumed like office supplies and instructional supplies. There are some items that cost less than $2,500 that also have a life beyond 3 years, however, because of their low cost, they are treated like consumables (i.e., calculators).
Declining Balance Cards/Project Cards Used for a fixed amount of spend over a specific duration of time. Cards are issued for up to one (1) year.
GL Account Codes/NYIT Account Structure The GL Account Codes define where charges are placed in the accounting structure for each Procurement Card transaction:

• The FUND GROUP is the classification of the funding source
• The ORGANIZATION (Division) is the highest level for budget funds
• The ACTIVITY (Account or Department) is the lowest level for budget funds
• The OBJECT code is the category of the expense

The source of funding is at the Organization/Activity level; the type of expense incurred is identified by the Object.
Intellilink The UMB VISA Spend Management Tool used for online reconciliation of cardholder transactions.
Merchant Category Codes (MCC) MCC's are four-digit codes assigned to a supplier by their merchant bank. The MCC identifies the type of business conducted by the supplier. Cardholder profiles are defined by allowable Merchant Category Codes under the NYIT P-Card Program.
ORACLE The financial system used by the College to record and audit financial transactions. ORACLE contains the permanent accounting records of the New York Institute of Technology.
Procurement Card (P-Card) A credit card issued to an employee in his/her name; the card has limitations by dollars and commodities.
Program Administrator Director of Procurement Services or designee (also referenced as "Procurement Card Program Administrator").
Proxy Person within the department designated to approve transactions in lieu of the Authorized Approver. The Proxy must be a peer of the Authorized Approver or higher.
Reconciler The NYIT employee who reconciles the procurement card transactions in the online UMB VISA Intellilink system. The reconciler may be the cardholder or the person designated to reconcile for cardholders within the department; reconcilers are not required to have a UMB Procurement Card in order to reconcile transactions for others.
Reconciliation The act of assigning an account string (Activity/Object Codes) AND indicating the business purpose on EACH transaction, including providing details on the 4 W's; reconciliation is performed on a monthly basis by the cardholder or reconciler for cardholder transactions.
Splitting Transactions Making one purchase into two or more purchases to stay within single transaction limits. SPLITTING TRANSACTIONS IS NOT PERMITTED UNDER THIS PROCUREMENT CARD PROGRAM.
Statement Period Date of statement cut-off.
Summary Statement The monthly listing of all Cardholder transactions to the Program Administrator (issued by UMB Bank).
Suspense Codes As a part of monthly reconciliation, transactions must be allocated to appropriate GL Account Codes (see definition above). Transactions that are unreconciled by the stated monthly deadline are charged to a suspense account called Unreconciled P-Card Expenses (Object Code 71955). Expenses assigned to this account will require further action by the cardholder or reconciler. For additional information, see CARD MISUSE and CONSEQUENCES below.
Transaction The act of making a purchase with the procurement card.
Transaction Limits Cardholders have individual single and monthly total purchase amounts as authorized by their Authorized Approver.
UMB Bank Procurement card provider for the College.
4 W's Elements of the Business Purpose and information for reconciliation for all P-card transactions:

Who – If a P-Card expense was incurred on behalf of NYIT guest or employee other than the cardholder, the name of the individual who incurred the expense should be listed for reconciliation purposes.
What – NYIT needs to know what type of event or activity occurred, or what was purchased. Include this information with the reconciliation notes.
When – The business purpose should include information about when an event occurred.
Where – Include where the expense was incurred for the business activity.

Scope

This Policy sets forth the authority, limitations and cardholder responsibilities of the Procurement Card (P-Card) Program of the New York Institute of Technology. All NYIT personnel who are issued a P-Card are governed by this policy.

Policy Statement

Issuance of an NYIT P-Card is a privilege and every reasonable effort must be made to ensure funds are used responsibly and in a manner that supports the Institute's mission, ethical practices and applicable laws.

The P-Card is the preferred payment method for most business related, small dollar, single transaction purchases of certain goods and services by NYIT employees. It is the responsibility of all NYIT personnel who participate in the P-Card program to review, understand and comply with this policy.

Reasons for the Policy

The use of the P-Card significantly reduces the direct administrative effort normally required to purchase and process small dollar, high volume transactions while maintaining an adequate control environment. This policy supports the use of P-Cards and outlines appropriate business transactions, while assuring the appropriate internal controls are in place to minimize the Institute's risk of financial loss.

How it Works

The procurement card simplifies the procurement and disbursement process by facilitating point-of-demand purchasing. Purchasing authority is delegated to the ordering departments, enabling the authorized cardholders to place orders directly with the suppliers. The vendor validates purchases with the Procurement Card at the point-of-sale. The UMB VISA Intellilink system validates the transaction against pre-set limits established by NYIT which include:

  • Number of transactions allowed per day
  • Single purchase limit with a not-to-exceed amount
  • Spending limit per month
  • Approved commodity Merchant Category Codes [MCC] that are encoded into the magnetic strip on the reverse side of the card

The authorization process occurs through an electronic system that supports the procurement card processing services under New York Institute of Technology's agreement with UMB Bank. In addition, the Program Administrator and Internal Auditor have the capability to view daily reports to effectively monitor the use of procurement cards. Procurement Services can also identify opportunities to further maximize NYIT's buying power through contract negotiations and contract administration.

Back to Top

Ethics

Please refer to the NYIT Employee Handbook for the NYIT Code of Conduct and Whistleblower Policy and the Conflict of Interest Policy.

Cardholders are expected to comply fully with these policies in making purchasing decisions and using the Procurement Card. All purchases should be made in the best interest of New York Institute of Technology, the cardholder's college or administrative area, and the cardholder's department or unit. While it is not possible to list all situations that might involve a conflict of interest, some examples of interests and activities that might constitute a conflict of interest are:

  • Making purchases from persons or entities in which the cardholder or his family has a financial interest.
  • Making purchases from an entity which employs a member of cardholder's family.
  • Selecting a vendor for any reason which benefits the cardholder personally.
  • Receiving any personal rebates or other benefits in exchange for the purchase.

THE CARD IS NOT FOR PERSONAL USE! The only person authorized to utilize the card is the person whose name appears on the card itself: because each procurement card is linked to a specific cost center and individual employee, the card cannot be transferred from one employee to another.

If an individual becomes aware of a suspected violation of Procurement Card Policies and Procedures, he/she should promptly report it to the AUTHORIZED APPROVER and Internal Auditor for further attention.

Back to Top

Card Issuance and Activation

Employees requesting a procurement card will be asked to complete a Procurement Card Individual Cardholder Application and Employee Disclosure Form for submission to the Procurement Office.

The signature of the Vice President or Senior Manager for respective departments is required for every Cardholder Application. When the card is sent from UMB Bank and received by the Procurement Office, the Program Administrator will contact the cardholder to schedule a training session, after which the employee will receive his/her card.

All cardholders are required to attend procurement card training. Upon completion of training, employees shall sign the Procurement Card Employee Cardholder Agreement prior to receiving their UMB VISA cards.

After training, the cardholder may activate the card by calling the toll-free number printed on the card. The card may be used immediately after activation.

Although the card will be issued in your name, your personal credit history will not affect your ability to obtain a card, nor will your personal credit be affected in the event of fraud resulting from a lost or stolen UMB Bank VISA card. NYIT is responsible for payment of purchases made under the UMB VISA Procurement Card Program.

Back to Top

Account Maintenance

If there is a need to change any information regarding your account, please notify the Program Administrator at 516.686.7770 for further instructions.

Back to Top

Restricted Purchases

The Procurement Card is not to be used for the following purposes:

  • Purchases that are required to be made through centralized departments (IT, Facilities, NYIT COM, Procurement), such as technology equipment, copiers, and furniture
  • Technology equipment, software, and copiers (contact IT for these purchases)
  • Insurance (exception: insurance for vehicle rentals when traveling abroad)
  • Services associated with a contract** (NOTE: General Counsel must review and approve all contracts prior to authorizing the work to be performed)
  • Personal items
  • New York Tech Bookstore purchases
  • Cash advances of any type
  • Capital equipment
  • Gift cards
  • Fines or court costs
  • NYIT Dining Services (Campus Dining & de Seversky)
  • Leases and lease-purchases
  • Honorariums or any type of personal compensation
  • Donations to organizations (non-profit or for-profit)
  • Visas (work, student visas)
  • Chemicals
  • PayPal*, Amazon*, Alibaba, and eBay transactions

*PayPal, Amazon and gift card orders are centralized through Procurement Services via a Credit Card request form. Gift cards must have prior approval from the Controller at ext. 7555.
Amazon purchases for books only are authorized by Wisser Library. NYITCOM (NY) Finance Department cardholders are permitted to make purchases with Amazon. These transactions are subject to a higher level of audit and review by Financial Affairs and Internal Audit.

** Certain payments on executed contracts for services may be made with the Procurement Card.

Back to Top

Restricted Countries

The Procurement Card cannot be used in the following countries:

Country Name FCRM Country Code
CubaCU
IranIR
Democratic People's Republic of Korea (North Korea)KP
SomaliaSO
Syrian Arab Republic (Syria)SY
Ukraine (Crimea)UA
Russia (Crimea)RU
BelarusBY
BurundiBI
Central African RepublicCF
Democratic Republic of the CongoCD
IraqIQ
LebanonLB
LibyaLY
SudanSD
South SudanSS
VenezuelaVE
YemenYE
ZimbabweZW
Back to Top

Purchase Limits

Several types of card products are available under the NYIT UMB VISA Program; Procurement Card policies and procedures apply to all card types.

  TRAVEL CARD DEPARTMENTAL PURCHASING CARD FACILITIES and IT CARDS FUEL CARD
Card Designation NYT1 NYT2 NYD1 NYD2 NYD3 NYF1 or NYI1 NYF2 or NYI2 FC
Single Transaction Limit $2,500 $10,000 $500 $1,000 $2,500 $1,000 $2,500 $500
Monthly Transaction Limit $10,000 $20,000 $1,000 $2,500 $5,000 $2,500 $5,000 $2,500

A Declining Balance Card (also known as a Project Card) is available for infrequent travelers; individuals whose spend activity does not warrant limits for a travel or departmental purchasing card; or for those with responsibilities associated with a specific budget or project. These cards have an established not-to-exceed dollar amount and are issued for a specific period of time (up to one year). Amounts and time periods for the cards can be adjusted on an as-needed basis as requested by the Authorized Approver.

Purchase limits are defined by the expected level of activity and responsibilities of cardholders within their departments (for example, Information Technology Services has access to purchase from vendors with specific Merchant Category Codes that may not be available to others because the commodities are centralized in the ITS Department).

Cardholder limits are established by the Authorized Approver and specified on the Cardholder Application. Requests for cardholder monthly limit increases shall be made in writing by the Authorized Approver to the Program Administrator. Requests for single transaction limit increases may be made by the cardholder in writing to the Program Administrator. Limit increases are for temporary purposes only. An agreed-upon date (not to exceed 90 days from date of increase) shall be established for the limit(s) to be restored to the amount designated on the Cardholder Application.

If a cardholder has a specific single/monthly transaction limit and the Authorized Approver deems it necessary to have the cardholder limits increased to a higher level, the request must be submitted in writing by the Authorized Approver to the Program Administrator. Conversely, if a cardholder has limits as defined under a higher level and actual spend activity is in the range of a lower level, the Program Administrator reserves the right to reclassify the cardholder spending authority accordingly.

Card limits may be temporarily reduced to $1 single/monthly amounts at the request of the cardholder or Authorized Approver. You are encouraged to do this in instances where there is no anticipated activity on the card for a specific period of time. Reducing the limits minimizes risk to NYIT and the card program in the event the card is lost or stolen while it is not in use.

Emergency Situations: If a cardholder's transaction is not approved through a merchant because of a problem with the single or monthly transaction limit, the Program Administrator will accept a phone or email request from the cardholder; the Program Administrator will send an email to the Authorized Approver to confirm the cardholder's request for and completion of the temporary limit increase.

Back to Top

Making a Purchase

Before using the Procurement Card, determine if it is the appropriate purchasing method. Generally, the Procurement Card can be used for most purchase transactions according to the individual cardholder's spending limits. The Procurement Card is the preferred alternative for small dollar transactions.

The Procurement Card may be used in person or via mail, telephone, fax, or over a secured Internet link. Follow these general procedures when using the Procurement Card:

  • Check possible sources of supply to ensure best price, delivery, and compliance with policy and procedures. The Procurement Office staff is available to assist with sourcing and pricing of products if/as needed.
  • Call or visit the supplier and identify yourself as an NYIT employee. Be prepared to have your NYIT ID available for vendor reference.
  • Confirm acceptance of the VISA card for purchases.
  • Tell the supplier that NYIT is exempt from paying New York state sales tax at the point of sale. If required, provide the Tax Exempt Card to the supplier. For ease of reference, the NYIT New York State Tax Exempt number is printed on the top left-hand corner of the NYIT UMB VISA Card. A copy of the New York State Tax Exempt certificate is provided in each cardholder's packet along with his/her procurement card.
  • Give the supplier the Procurement Card number and expiration date, and provide the NYIT tax exempt number if requested.
  • Items ordered with the NYIT Procurement Card must be delivered ONLY to an NYIT address. Shipping to personal addresses is not permitted.
  • If you are ordering online, use the following when prompted for a bill-to address:
    P.O. Box 8000
    Old Westbury, NY 11568-8000
  • Be sure to indicate your campus address for shipping of products and/or mailing of receipts/documents. Remind the supplier that this is a VISA purchase, and to send a receipt for the purchase to you at your campus mail address. When specifying delivery instructions to your campus address, include information that must appear on the shipping label (i.e., Attention: __________). Notify the supplier that the Procurement Card number should not be displayed anywhere on the outside of the package.
  • Please use the following examples for shipping goods to campus:
    • Central Islip Site
      Department name (required)
      Individual Name (optional)
      New York Institute of Technology (required)
      300 Carleton Ave.
      Central Islip, NY 11722-9029
    • New York City Campus
      Department name (required)
      Individual Name (optional)
      New York Institute of Technology (required)
      1855 Broadway
      New York, NY 10023-7692
    • Long Island Campus
      Department name (required)
      Individual Name (optional)
      New York Institute of Technology (required)
      P.O. Box 8000
      Building/Room #
      Old Westbury, NY 11568-8000
    • Long Island Campus (if PO Box is not acceptable)
      Department name (required)
      Individual Name (optional)
      New York Institute of Technology (required)
      600 Northern Blvd.
      Old Westbury, NY 11568
  • Order the desired goods or services and confirm the total cost, including freight (shipping and handling).
  • Print the order confirmation/receipt for your records.
Back to Top

Travel Using the Procurement Card

Travel with the NYIT Procurement Card must be in accordance with NYIT Travel Policy and requires submission of a Travel & Expense Report to Budget and Accounts Payable upon completion of travel.

When NYIT employees are in attendance for a meal or event for NYIT-related functions or business, the highest ranking person within the group with an NYIT P-Card must pay for the expense. The expenses may be reconciled among different GL Account Codes as needed.

The NYIT Procurement Card may be used to secure travel for students as needed. Be sure to retain the itinerary and all receipts; and list all participants for the trip.

If you are traveling, contact the Procurement Office for tax exemption requirements in other states. Many states will grant tax exemption through reciprocity; because documentation requirements vary from state to state, it is important to be as proactive as possible by planning in advance and requesting documentation as early as possible when securing tax exemption for out-of-state purchases.

Be sure to contact UMB prior to travel abroad to mitigate the chance of declined transactions and provide information regarding dates and location(s) of travel. Please also be sure to check the list of Restricted Counties. In the event of declined transactions, contact UMB or the Procurement Card Administrator to determine the cause and resolve the problem.

NYIT is self-insured; be sure to waive coverage when purchasing airfare or renting vehicles for domestic travel. UMB provides secondary coverage for rental cars and lost luggage. Refer to the materials contained in the envelope provided to you with your P-Card.

Back to Top

Documentation/Receipts

Substantiating your transactions for NYIT business-related business purposes is a critical element of the procurement process. Itemized receipts provide detailed permanent records for accounting and auditing purposes and serve as evidence of the business purpose.

Always obtain itemized receipts, even if the purchase is made by telephone or fax. When ordering goods via the telephone, you are urged to maintain documentation referencing the name of the individual who provided the price quote(s), date(s), time(s) of the contact(s), and any other pertinent information as necessary. It is always a good business practice, when obtaining a verbal quote from a vendor, to request a written confirmation of pricing for the item(s) you are ordering.

For the purpose of Procurement Card transactions, the term "receipt" shall be defined as follows:

  • An invoice, cash register receipt, sales slip, or packing slip which contains the following:
    • Itemized list of goods purchased, with cost amounts
    • Name and address of supplier
    • Date of the transaction

Handwritten receipts must be signed by an authorized employee of the supplier.

When ordering via the Internet, the cardholder should screen print the completed order form and attach the packing slip (if available).

Document the four W's online in Intellilink as a part of the reconciliation process:

  • Who – If a P-Card expense was incurred on behalf of NYIT guest or employee other than the cardholder, the name of the individual who incurred the expense should be listed for reconciliation purposes. For example, if a P-card holder booked a hotel on behalf of a visiting lecturer, the name of the visiting lecturer should be included in the reconciliation notes: Lodging – Prof. John Smith.
  • What – NYIT needs to know what type of event or activity occurred, or what was purchased. Include this information with the reconciliation notes. For example, a department chair used her P-Card to host a faculty dinner: Departmental faculty meeting – Profs. Jane Smith, Debra James, Tom Jones, Dave Thompson in attendance.
  • When – The business purpose should include information about when an event occurred. For example, a department hosted a reception after commencement for students: 5-17-2015 Commencement Reception for School of Management Graduates (53 in attendance).
  • Where – Include where the expense was incurred for the business activity. For example, a faculty member flew United Airlines to attend a professional conference in Florida: Airfare to attend American Association of Educators Conference, Marco Island, FL (6/1 –6/4).

Retain ALL receipts, regardless of dollar amount!

The Internal Revenue Service, internal and/or external auditors will periodically audit procurement card transactions. Therefore, receipt retention is a critical and necessary element to the success of the program, and is a condition for the privilege of possessing an NYIT P-Card.

The Intellilink reconciliation system provides a mechanism for scanned receipts to be "attached" to transactions online. Once a receipt has been scanned and the transaction has been reconciled in Intellilink, original receipt retention is not necessary. It is a good practice to retain the original receipts until the monthly reconciliation process has been completed and scanned receipts have been entered into Intellilink before destroying receipts.

NOTE: if you are making a purchase on behalf of another department, or you were authorized to expend budget from another department, notify the department when the card account has been charged and reconciled to their budget and provide a courtesy copy of the receipt. Departments must establish appropriate inventory tracking methods for goods ordered on behalf of others, or within individual departments and units.

Back to Top

Receiving and Returning Purchases

If the shipment is large enough to require a dock, contact Facilities and advise them when to expect the goods and where to deliver them; be sure to provide a contact person for the receiving department in the event of any problems or questions.

Retain documentation/invoices associated with goods delivered to you on campus. Departments are encouraged to establish appropriate inventory tracking methods for goods ordered on behalf of others, or within individual departments and units.

Cardholders must receive credit on the procurement card used to purchase the item(s); do not accept a cash refund or store credit. Cardholders should also review monthly statements to ensure that all charges/credits have been properly issued on the procurement card account. The online UMB VISA reconciliation tool is a good source of information to view charges and credits.

When credits are received, retain documentation which explains each item returned or exchanged and reconcile the credit to the same budget code as the original charge. This documentation should also be scanned and attached to the credit transaction in Intellilink.

Back to Top

Transaction Processing/Month-end Procedures

Cardholders may review monthly statements online. Reconciliation and transaction processing are accessible through a single platform. The link to the UMB VISA Commercial Card Services online portal is: https://commercialcard.umb.com/.

You are urged to review the UMB VISA Intellilink site regularly to ensure that no unauthorized/fraudulent charges are on your card. The website allows real-time access to your account data. This tool provides cardholders the ability to view account information and transactions for the current and the last four-months of statements.

Reconciliation

All card transactions must be reconciled on a monthly basis through the UMB VISA Intellilink site. Reconciliation is the act of assigning an Oracle account string (Fund/Org/Activity/Object codes) AND indicating the business purpose on EACH transaction.

Cardholders or reconcilers may view transactions online approximately 3 working days after a purchase is made with a procurement card. The cardholder and/or reconciler must complete online reconciliation before the deadline specified on the home page of the UMB VISA Intellilink site. Once reconciliation has been completed on transaction(s) by the cardholders or delegates, Authorized Approvers are notified electronically when transactions require their approval. Authorized Approvers may reject transactions pending additional justification or information; or approve transactions as appropriate.

On the date of the reconciliation deadline, all cardholder transactions are downloaded into the Oracle Financials system to make P-card system expenditures available. The month-end close process is conducted by Financial Affairs; upon completion, all charges (and credits) to cardholder accounts are posted against departmental budgets. It is vital for this information to be represented on NYIT's financial statements in an accurate and timely manner for compliance purposes.

Failure to assign the expenses to an Oracle account string will result in the expenses being assigned to a suspense account called Unreconciled P-Card Expenses. This account does not accurately describe the purpose of the expenses and will make NYIT's financial statements less accurate. Expenses assigned to this account will require further action by the cardholder or reconciler. Failure to reconcile monthly transactions by stated deadlines is also considered to be in violation of P-Card Policy, and may result in consequences to the cardholder or reconciler (see CARD MISUSE and CONSEQUENCES below).

Unauthorized Charge(s)

If you discover any unauthorized charges online or on your monthly statement, immediately notify the Procurement Card Administrator. In the event that your card account is compromised, your account will be suspended or closed, and a new card will be issued by UMB upon your verification of the compromise or fraud.

Missing Receipts

Cardholders are required to maintain a system to retain and scan receipts. Be especially careful to have a place for safekeeping of receipts when traveling.

In the event of a lost or missing receipt, take the following steps:

  • Contact the merchant and ask for a duplicate copy (if unavailable, contact UMB).
  • Contact UMB Bank for a copy – additional fees may apply (the fee will be charged to your cardholder account)
  • Complete the Missing Receipt Affidavit. Be sure to sign the affidavit and obtain the signature of the Authorized Approver

Approvals

The UMB VISA Procurement Card Program allows cardholders, reconcilers and Authorized Approvers to access statement information via Intellilink. The monthly billing period is generally from the first day of the month to the last business day of the same month. Transactional data is downloaded directly to the Oracle Financials System on a monthly basis, and statements can be reviewed for accuracy and reconciliation of expenses. In order for Financial Affairs to complete its monthly process of posting expenses against departmental budgets, reconciling of cardholder transactions must be completed in the system by the deadline stated on the home page of the UMB VISA Intellilink screen (see TIMELINE of MONTHLY ACTIVITY).

It is the responsibility of the Authorized Approver to review and approve cardholder receipts and statements on a monthly basis. Cardholders/reconcilers are responsible for monthly online reconciliation of all transactions in a timely manner (see TIMELINE of MONTHLY ACTIVITY).

NOTE: Authorized Approvers may not have a subordinate make a purchase transaction for the purpose of circumventing review and approval by the Authorized Approver's supervisor or manager.

Back to Top

Timeline of Monthly Activity

ACTIVITY CARDHOLDER CARDHOLDER
RECONCILER
AUTHORIZED APPROVER ADMINISTRATIVE
Monthly billing period (1st day of the month to the last day of the month) Receives individual statement Receives individual statement for cardholder(s)   Procurement reviews summary statement for all cardholder transactions
Every Friday Intellilink emails reminders regarding unreconciled/unapproved transactions  
By the 5th working day of the month Reviews all transactions and reconciles statement Reviews all transactions and reconciles statement(s) for cardholder(s)   Accounts Payable begins the process to pay the statement
By the 10th working day of the month Corrects budget code or provides information to authorized approver for rejected transactions Corrects budget code or provides information to authorized approver for rejected transactions Rejects if transaction is incorrectly coded or information is missing and withholds approval pending receipt of information. Approves and reviews cardholder transactions online  
By the 11th working day of the month Works with Budget to rectify NSF (if applicable) Works with Budget to rectify NSF (if applicable) Works with Budget to rectify NSF (if applicable) Financial Affairs begins process of transferring transactions into Oracle. Financial Affairs notifies cardholder, reconciler, authorized approver, and/or department of NSF (if applicable). Financial Affairs begins review of cardholder transactions from previous month.
By the 15th working day of the month Submits reimbursement to NYIT for unauthorized or personal charges (refer to CARD MISUSE and CONSEQUENCES below)      
By the last business day of the month Submits requested documentation to Financial Affairs for transaction review Submits requested documentation to Financial Affairs for transaction review    
By the 15th day of the following month Processes request(s) to Accounting to rectify Unreconciled P-Card Expenses Processes request(s) to Accounting to rectify Unreconciled P-Card Expenses   Financial Affairs submits findings of transaction review to appropriate individual (cardholder, Authorized Approver, etc.). Procurement schedules refresher training
Back to Top

Responsibilities

Responsibilities of the Program Administrator

  • Interact with UMB Bank to issue new cards and approve card limits for individuals.
  • Suspend or terminate cards.
  • Conduct training for new cardholders and refresher training for existing cardholders.
  • Notify cardholders of violation in program policies and procedures.
  • Interact with UMB Bank to maintain MCC's (Merchant Category Codes) for prohibited purchases.
  • Assist cardholders and departments with problem resolution, disputes, returns and credits (if initial attempts by departments are unsuccessful).

Responsibilities of Financial Affairs

  • Conduct monthly review of card transactions.
  • Request additional information from cardholders for transactions.
  • Notify cardholders and Program Administrator of violation in program policies and procedures.
  • Notify Authorized Approver concerning suspected misuse or fraud of the procurement card program.
  • Notify Authorized Approvers when monthly transactions exceed available budget.
  • Perform budget transfers as needed to ensure available funds for expenses.

Responsibilities of the Cardholder

  • Successfully complete the cardholder training program and sign the Employee Cardholder Agreement prior to receiving the procurement card.
  • Ensure funds are available prior to making authorized purchases.
  • Ensure all transactions posted are legitimate purchases made on behalf of NYIT.
  • Obtain and scan the original itemized receipts (invoice, cash register receipt, credit card slip, e-mail confirmation, etc.) for all transactions.
  • Reconcile transactions monthly in accordance with established deadlines.
  • Designate a proxy to reconcile cardholder transactions in your absence.
  • Keep the card secure at all times and promptly notify UMB and the Program Administrator of any loss or theft of the card.
  • Re-apply for a procurement card in the event of transfer to another department.
  • Relinquish the procurement card to Procurement Services upon termination.

Responsibilities of the Authorized Approver*

  • Emphasize good stewardship of NYIT funds.
  • Encourage ethical purchasing practices.
  • Successfully complete the cardholder training program.
  • Designate default Fund/Org/Activity/Object codes for all department cardholders.
  • Notify Program Administrator upon employee separation from NYIT or in event of change in department.
  • Retrieve cards from employees who leave New York Institute of Technology, change departments, or move on to a job in which they will no longer require a procurement card.
  • Designate a reconciler for the department (if cardholder is not reconciling his/her own transactions).
  • Notify the Program Administrator of any reconciler changes in the department
  • Approve each Procurement Cardholder Application.
  • Oversee appropriate use of the card.
  • Designate a proxy to approve cardholder transactions in your absence. The proxy must be a peer or above. (Cardholders and Authorized Approvers must not approve their own transactions online)
  • Affirm all transactions made by cardholders for each statement period are allowable purchases by electronically approving each transaction.
  • Initiate procedure resolution of prohibited purchases. This is to be done at the time improper purchases are discovered.
  • Notify the Program Administrator of the details of any procurement card misuse and the proposed resolution.
  • For any cases of procurement card misuse, the president, vice-president, dean, director or Authorized Approver will obtain the card and return it to the Program Administrator for cancellation.

* NOTE: Authorized Approvers are not required to have a procurement card and will have access to Intellilink to conduct the review/approval process.

Responsibilities of the Reconciler* or Proxy

  • Successfully complete the cardholder training program.
  • Ensure all transactions posted are legitimate purchases made on behalf of NYIT.
  • Obtain and scan the original itemized receipts (invoices, cash register receipt, credit card slip, e-mail) confirmation, etc.) for all transactions.
  • Reconcile transactions monthly in accordance with established deadlines (see TIMELINE of MONTHLY ACTIVITY).
  • Initiate procedure resolution of prohibited purchases. This is to be done at the time improper purchases are discovered.
  • Notify the Authorized Approver with details of any suspected procurement card misuse.

* NOTE: Reconcilers are not required to have a procurement card; cardholders, however, must either reconcile their own transactions or have an assigned reconciler for their transactions.

Responsibilities of the Vice President of Financial Affairs

  • Collaborate, as appropriate, with General Counsel, Director of Human Resources and others to determine consequences in situations of misuse or abuse.

Responsibilities of Internal Audit

  • Conduct monthly audit of card transactions.
  • Request additional information from cardholders for transactions.
  • Notify cardholders of violation in program policies and procedures.
  • Notify Authorized Approver and Program Administrator concerning suspected misuse or fraud of the procurement card program.
  • Review NYIT Procurement Card Program for compliance and deficiencies as needed.
Back to Top

Cardholders Beware!

As a cardholder, you are responsible for the procurement card that has been issued in your name. Protect your card as you would your personal credit card and:

  • Know where your card is at all times.
  • Don't carry your card while on vacation.
  • Don't share your cardholder account or other pertinent information with anyone.
  • Ensure that the card is secure on your person or locked up in a safe place to prevent possible theft or unauthorized use.
  • Keep your NYIT procurement card separate from your personal credit or debit cards to prevent accidental personal use.
  • If you do not plan to use your card for an extended period of time (more than one month), you are encouraged to request a temporary decrease on your card limits to $1 to reduce risk in the event that your card is lost or stolen.
  • Report any loss or theft immediately.
Back to Top

Personal Purchases

Personal purchases are strictly prohibited on the NYIT P-Card. If an incident occurs which requires you to reimburse NYIT, use the 71956 Object code ("P-Card Used in Error for Personal Expenses") when you complete your reconciliation. Immediate reimbursement to NYIT is required within fifteen (15) business days from the end of the statement period in which the (accidental) personal purchase occurred; reference the same Activity/Object code that you used when reconciling the transaction for the reimbursement. Frequent personal purchases or failure to reimburse NYIT within this timeline may constitute grounds for disciplinary action, up to and including temporary or permanent suspension of card privileges or termination of employment.

Reimbursement must be made to the Budget Auditor in Financial Affairs (Long Island Campus, Gerry House, 2nd Floor). A receipt will be provided to you; you will need to attach the receipt copy to the transaction in Intellilink as evidence of reimbursement for the personal expense.

Back to Top

Disputing Unauthorized or Inaccurate Charges

If you discover an unauthorized charge:

  • Reconcile the transaction with the Fund/Org/Activity/Object code.
  • Dispute the charge online via the UMB VISA Intellilink reconciliation tool.
  • Notate the reason the transaction is being disputed (did not authorize, duplicate charge, etc.).
  • UMB Bank will contact you and ask you to provide additional information; you may be required to sign an affidavit stating that you did not authorize the charge.
  • Your card may be cancelled upon notification and a new one (with a different account number) will be issued; the replacement card may take up to two (2) weeks.
  • The Program Administrator will contact you to pick up the card from the Procurement Office once it has been received from UMB.
  • Reconcile the credit to the same Fund/Org/Activity/Object code used for the charge and notate the reason for the credit in Intellilink.
  • Retain all proper documentation for the charge and the credit.
  • Contact the Program Administrator for assistance if needed.

If you discover a suspected unauthorized charge due to possible fraud:

  • Contact UMB Bank and the Program Administrator immediately.
  • UMB Bank will ask you to sign an affidavit stating that you did not authorize the charge(s).
  • Your card will be cancelled immediately upon notification and a new one (with a different account number) will be issued; the replacement card may take up to two (2) weeks.
  • The Program Administrator will contact you to pick up the card from the Procurement Office once it has been received from UMB.

If you were charged for a purchase by a known vendor where the goods have not been received, or there is any other discrepancy:

  • Attempt to resolve the issue with the vendor prior to the established deadline for reconciliation.
  • Dispute the charge online via the UMB VISA Intellilink reconciliation tool.
  • Reconcile the transaction with the Fund/Org/Activity/Object code.
  • Notate the reason the transaction is being disputed (price charged varies from price quoted, duplicate charge, etc.).
  • If the adjustment issued by the merchant is a credit, reconcile the transaction with the same Activity/Object code used for the original transaction.
  • Contact the Program Administrator for assistance if needed.
Back to Top

Canceling a Procurement Card

Loss, Theft or Fraud

Under certain conditions, the cardholder must make a quick decision about whether to request cancellation of a procurement card. Some conditions that require immediate cancellation include:

  • A lost card
  • A stolen card
  • One or more transactions in Intellilink are not authorized by the cardholder (see DISPUTING UNAUTHORIZED or INACCURATE CHARGES).

If you encounter one of these conditions, immediately take action and do not wait until you can verify the transactions on your monthly statement. The bank is liable for fraudulent charges to a card if swift action is taken by the cardholder and NYIT.

All of the following reporting steps must be used when cancelling a card:

  • Contact UMB Bank at 888.494.5141 (this is a 24/7 number) to cancel the card. Although the bank representative may indicate that a new card will be issued, you still need to contact the Program Administrator to notify him/her of the cancellation. The Program Administrator will then authorize the bank to issue a replacement card.
  • Notify the reconciler (if cardholder is not the reconciler)

Transfer of Employment

Employees who transfer to another NYIT department are required to surrender their card to their Authorized Approver. The Program Administrator is responsible for cancellation of the employee cardholder account. If the cardholder has purchasing responsibilities in the new department, an application and cardholder agreement (signed and authorized by the Authorized Approver) are necessary for a new card. Submit the documents to the Program Administrator for further action to process the card. Additional training for the new card account for employees who transfer is not required as long as the cardholder is/was in good standing with his/her responsibilities under the Procurement Card program.

Termination of Employment

Upon termination, the cardholder shall relinquish his/her procurement card to the Authorized Approver along with appropriate documentation of purchases to date. The departing employee is responsible for providing information regarding the Procurement Card file for past months/years to his/her Authorized Approver for possible audit requests.

The Human Resources Department shall also serve as a source of information for separated employees and will ask the employee to relinquish his/her procurement card upon termination (if the employee has not already done so).

Back to Top

Card Misuse and Consequences

Card misuse comes with serious consequences. The Vice President of Financial Affairs is responsible for determining consequences in situations involving misuse or abuse in conjunction with General Counsel, Director of Human Resources, and others as appropriate.

The NYIT procurement card is to be used solely by the person to whom it was issued. The card can ONLY be used to pay for allowable NYIT-related purchases and is NOT to be used for any personal, prohibited or unauthorized purchases. Any such use will require the cardholder to submit an immediate reimbursement to NYIT for the improper charge on the procurement card.

Misuse is broadly defined as "using the card in violation of NYIT policies and procedures." Examples of misuse of the procurement card include, but are not limited to:

  • Using the procurement card for personal purchases.
  • Using the procurement card for purchases that are not authorized by NYIT/Authorized Approver.
  • Using the procurement card to purchase any goods or services that violate policies or procedures of NYIT, including Travel and Entertainment Policy and those items listed as specific exclusions for the procurement card; or which violate any law or regulation to which NYIT must adhere.
  • Splitting a transaction to circumvent the transaction limit authorized for the cardholder's card.
  • Using multiple cards to circumvent the transaction limit authorized for the cardholder's card.
  • Asking a subordinate to make a purchase for the purpose of circumventing the review and approval process of your transaction by your supervisor or manager.
  • Failing to provide required documentation in a timely manner for audit purposes.
  • Failing to retain receipts and/or provide information about a specific purchase (see DOCUMENTATION/RECEIPTS and MISSING RECEIPTS above). A missing receipt equals an unsubstantiated business purpose; an unsubstantiated business purpose is considered a personal purchase and the purchase is then a reimbursable transaction by the cardholder to NYIT.
  • Giving your card to another individual to use for a purchase. No other person is authorized to use your card. The cardholder may make transactions on behalf of others (who do not have a procurement card) in his/her department or division if/as approved by the Authorized Approver (retain documentation of approval for audit purposes). The cardholder is still responsible for the business validity of the use of his/her card.
  • Failing to conduct online reconciliation by the deadline stated in Intellilink, resulting in the need to complete Journal Entries (JE's) for unreconciled charges.
  • Failing to approve employees' transactions online by the deadline stated in Intellilink [AUTHORIZED APPROVERS].

The cardholder understands that his/her improper or fraudulent use of the NYIT procurement card may be cause for disciplinary action by NYIT, including:

  • Temporary or permanent suspension of P-Card privileges. Cardholders whose accounts are temporarily suspended are required to undergo a refresher P-Card training session prior to reinstatement of P-Card privileges. [NOTE: Cardholders who lose P-Card privileges will not be entitled to a cash advance for travel, and will be required to submit reimbursement upon completion of their travel for NYIT-related expenses.]‚Äč
  • Reimbursement to NYIT, to include any administrative fees imposed by the bank in connection with misuse.
  • Obligation to pay legal fees incurred by NYIT if legal proceedings are initiated to recover amounts owed.
  • Written notification to supervisor of violation (retained in employee's personnel and P-Card files).
  • Termination of employment from NYIT.
  • Criminal prosecution.

The materials or goods involved in card misuse may:

  • become the property of the cardholder;
  • be returned to the vendor;
  • be retained by NYIT.

The cardholder must reimburse NYIT for the cost and any related processing fees.

Back to Top

Contact Information

Gina Arms
Senior Director, Business Office Strategy and Technology
Procurement Card Administrator
516.686.7700
garms@nyit.edu

Report a Lost or Stolen Card – UMB Bank

24 hours a day (have your account number and employee ID number ready when calling): UMB BANK/VISA (worldwide customer service) at 888.494.5141.

Back to Top

Documents

Downloadable Forms

Guides