Cardholder Guide
The University of Wisconsin – Madison Purchasing Card Program is designed to expedite the purchasing process and reduce the costs associated with processing low-dollar, best judgment purchase orders. Widespread merchant acceptance and flexible purchasing power in the hands of the buyer add convenience, efficiency and value to the purchasing process.
Anyone on the University of Wisconsin – Madison payroll system that has been approved by their Department and Dean’s Office can be a cardholder.
HOW TO USE THE PURCHASING CARD
- Determine the appropriate vendor for the materials/service desired.
- Give the vendor your Purchasing Card number and expiration date, or present the card at the point of sale.
- Use your department address (as submitted on the Cardholder Account Setup Form) as the shipping and billing address. All cards must be set up under the cardholders department address unless a signed Telecommuting Agreement Form http://www.ohr.wisc.edu/ohr/telecommuting/ accompanies the Cardholder Account Set Up form.
- Provide the vendor with the State of Wisconsin tax exempt number (ES 40706). If the vendor requests written proof of tax exempt status, fax a copy of the University of Wisconsin Tax Exempt Certificate.
- Retain all receipts, invoices, packing slips, confirmation screens, etc.
- At the end of the two-week cycle, attach retained documentation to the signed Statement of Account Report and forward these source documents to your site manager.
Exception: Several states allow the University of Wisconsin System an exemption on their sales and use tax. For a list of participating states please visit the UW TravelWIse Portal and use the following navigation: Before You Go > Travel Process Guidelines > Sales Tax Exemption > Obtaining Sales Tax Exemption from Other States. Be sure to carefully read the Restrictions/Procedures provided for each state in order to determine what specific commodities are eligible for tax exemption in each location.
THE CARD DOES NOT AFFECT YOUR PERSONAL CREDIT RATING
The University of Wisconsin – Madison assumes full liability for the payment and campus-wide use of the Purchasing Card; therefore, a user’s personal credit rating will not be affected in any way. However, all users are required to sign an agreement prior to receiving the card, and in doing so, are responsible for any misuse of that card.
- Order necessary services and supplies in accordance with the UW - Madison Purchasing Services Purchasing Policies and Procedures and all extramural funding agency restrictions.
- Complete the Cardholder Log when orders are placed if a log is required by your Department and/or Dean’s Office. The log is no longer mandatory source documentation.
- Ensure appropriate receipt of materials and services and follow-up with the vendor to resolve any discrepancies.
- If tax is charged in error and the amount exceeds the $5.00 tax tolerance level, contact the vendor to get the tax credited back to the card number. If unsuccessful in obtaining the credit, document the attempt.
- Maintain all receipts, invoices, packing slips, order confirmation screens, etc. (See source documentation qualifications listed below.)
- Compare your documentation with the purchases listed on your bi-weekly Statement of Account Report. If there are any discrepancies, note them on the Statement and take the appropriate steps to resolve them.
- After reconciling your purchases, attach the documentation to the back of the Statement of Account Report and forward the packet to your site manager.
- Be prepared for random audits reviewing card activity and documentation retention.
FREQUENTLY QUESTIONED PURCHASES
The purchasing card is intended for best judgment purchases under $5,000. All purchases must comply with the University of Wisconsin-Madison's purchasing and accounting policies and procedures and with extramural funding agency restriction.
For more information, see the list, Frequently Questioned Purchases.
WHAT QUALIFIES AS SOURCE DOCUMENTATION?
The original supporting documentation should always be retained in the payment mechanism file; therefore, the original Purchasing Card documentation should be attached to and stored with the Statement of Account Report. A scanned copy of the original is acceptable.
Statement of Account Report: The Statement of Account Report is automatically generated on a bi-weekly basis and sent to the cardholder via e-mail. The Statement contains the vendor name, transaction date, total dollar amount and default funding string for each transaction posted in the respective two-week cycle. The Statement must be printed off, signed by the Cardholder and forwarded on to the site manager with the original source documentation. The Cardholder may also choose to maintain a Cardholder Log. The site manager signs the Statement of Account Report after the reconciliation process is complete.
Services/Supplies Documentation Requirements
Required documentation includes at least one of the following:
- Invoice
- Packing Slip
- Order/Confirmation Screen
- Cash Register Receipt
- Registration Form
- Missing Receipt Form (for occasional use only)
Additional documentation may be required by the cardholder’s department or Dean’s office. All receipts should be attached to the Statement of Account Report and forwarded to the site manager at the end of the bi-weekly cycle.
Attach the enclosed packing slip or invoice when the merchandise is received. Although the packing slip often times does not have the price of the item included, it is still considered to be acceptable source documentation. The invoice is preferred over the packing slip and should be attached to the statement if the vendor encloses it in the shipment.
Print and attach a copy of the order screen or confirmation screen. The confirmation screen, if available, is preferred over the order screen.
Attach the cash register receipt. If the itemized detail is not on the receipt, write it in by hand.
Attach the original contract or service agreement to the Statement of Account Report that reflects the first monthly service fee posts. A memo justifying the need for the service should also be attached. Each month thereafter, the recurring fee should be noted as such, since there will be no monthly receipt or additional documentation to attach.
Specific documentation requirements for refreshment breaks, catering, meals, and receptions can be found under the Events/Meals tab.
- The same subscription, membership or registration cannot be paid twice in one fiscal year
- The subscription or membership must be mailed to a UW address
- If purchased from grant funds, the term of the subscription or membership cannot exceed the grant ending date.
Attach a copy of the registration form. Make a second copy of the form to attach to the traveler’s e-Reimbursement receipt packet. The registration is noted in the e-Reimbursement system by selecting “University Prepaid” as the payment type when entering the expense into the system.
If unable to obtain any type of documentation at all, complete the Missing Receipt Form (intended for occasional use only).
Travel Documentation Requirements
The Purchasing Card cannot be used for travel expenditures unless prior approval has been obtained from the cardholder’s Department and Dean’s Office. Divisional approval must be indicated on a signed Travel Agreement Form. The cardholder and site manager must attend a Purchasing Card Travel Training session prior to using the card for travel-related purchases.
The original travel agency invoice showing a zero-balance or the ticket confirmation if the reservation is made electronically. The invoice/confirmation must contain the following information:
- Name of the traveler
- Price of the flight
- Flight dates and a complete itinerary reflecting the most direct flight available
- Travel class (must be coach)
- Purpose of the trip must be written on the invoice/confirmation
- Signature of the individual that approves the travel for the department
(Note: The purpose of the trip and signature of travel official are not necessary if the Travel Approval Request form is attached.)
Additional documentation required depending on the circumstances:
- A total cost comparison when leaving or returning on Saturday/Sunday to obtain cost savings in fare
- A cost comparison if indirect routing or stopovers are indicated
- The Travel Approval Request form if the trip is being paid on GPR funds
The hotel folio containing the following information:
- Name of the traveler
- Dates of the stay
- Single room rate and taxes
- Total price paid
- Additional documentation required, depending on the circumstances:
- Conference brochure, if the traveler is staying at the conference hotel
- Name of the second occupant, if sharing a room
- Purpose of the call, if business calls are charged to the room
Car rental contract
The supporting documentation is the official record for the Purchasing Card transactions and must be retain by the department/site manager for seven years. The site manager is responsible for record retention and ensuring documentation is available for reviews/audits.
RESOLVING ERRORS, DISPUTES, RETURNS AND CREDITS
- Follow-up with the vendor on any erroneous charges, disputed items or returns as soon as possible.
- Any item that is returned must be returned for credit. Do not accept a refund in cash or in-store credit for another purchase.
- If the cardholder is unable to reach an agreement with the vendor, the Dispute Form should be used to dispute the charge through the bank. The completed form should be faxed to Élan Financial Services and the Purchasing Card Program Office. Élan must receive the Dispute Form within 60 days of the date of the transaction.
- All fraudulent charges must be reported immediately to US Bank Customer Service at (800) 344-5696.
- All errors, disputes, returns, fraud and pending credits should be noted on the source documentation.
WHO HAS THE SIGNATORY AUTHORITY TO SIGN AGREEMENTS AND CONTRACTS?
The Director of Purchasing Services has signature authority for procurement agreements, however, individual cardholders are considered to have delegated agent authority to sign certain confirmation documents when less than $5,000. Documents that require signatures to confirm arrangements are permitted to be signed by individual cardholders when the document confirms a simple transaction committing the University to pay a specific sum in return for specific, clearly defined product/services. Such documents cannot:
- exceed a single credit card transaction
- exceed one year in duration
- have any automatic renewal language
- have penalty clauses for termination
- require the University to “waive” any rights
- contain any “limits of liability clauses”
- contain any “hold harmless” or “indemnification” clauses
A vendor’s eligibility to do business with the University is contingent upon their compliance with s.16.765, Wis. Stats., which imposes requirements for affirmative action employment. Each vendor must also comply with s.77.66, Wis. Stats., tax laws. Purchasing Card Program Staff will update the Ineligible Vendor Lists quarterly and send the updated list to all campus site managers. Cardholders should either reference our web site or contact their site manager for the most current Ineligible Vendor Lists.
- Store your card in a locked cabinet or desk drawer when not in use.
- Protect your card if you are carrying it on your person or in your purse/wallet.
Cards are only to be used by the cardholder OR any individual that has been officially designated to use the card. The cardholder is ultimately responsible for all transactions that are recorded to the card number. Discretion should be used in determining who is allowed to serve as a designated user of the card.
Additional users are authorized once the Purchasing Card Designated User Agreement and/or the Purchasing Travel Card Designated User Agreement have been completed. Please maintain the form(s) at the department office.
Designated Users are encouraged, but not required, to attend Purchasing Card Training sessions. This is left to the discretion of the cardholder and the Department/Division.
All changes to a cardholder account are to be submitted in by the site manager via the Cardholder Account Setup Form. All new requests, changes, and cancellations must be routed through the Dean's Office for approval. A card cannot be transferred from one individual to another.
Immediately notify US Bank (800) 344-5696, University Police and Security (608) 262-2957, and Accounting Services (608) 265-9800.
Your card will automatically be renewed and mailed to your campus address at the end of the month preceding the expiration date embossed on the current card.
When a cardholder leaves the department, cancellation of the card is to take place prior to or immediately following the cardholder’s last day of employment unless extenuating circumstances exist. Timely cancellation of the card is an integral part of maintaining the integrity of the program. If all items ordered on the card have been received prior to the cardholder’s departure date, the cardholder is to cut up his/her card and turn it into the department site manager to begin the cancellation process. The site manager then disposes of the card and completes the Cardholder Account Setup Form with the cardholder’s name, the last 3-digits of the card number and a checkmark in the “Delete” box on the top of the form. The site manager forwards the form on to the respective Dean’s Office for updating of the Division records. The Dean’s Office will forward the form on to the Purchasing Card Program Office for card cancellation. An e-mail to the program staff in lieu of the form is acceptable provided the above information is included and the Dean’s Office is copied on the memo.
If items remain outstanding or backordered, the cardholder is to cut up the card and turn it over to the site manager. Once the outstanding orders have posted, the site manager is responsible for canceling the card via an e-mail or the Cardholder Account Setup Form.
Under no circumstances should the department continue to use the card to order supplies and services after the cardholder’s departure date. Departments must acknowledge the fact that the cardholder is ultimately responsible for all orders placed on the card and continued use of the card after the cardholder’s departure date should not be requested or expected. Whenever possible, complete the application forms to obtain a card for the new employee or an interim replacement cardholder prior to the current cardholder’s departure date.
The Purchasing Card Program is a combined effort of the departmental site managers, UW – Madison Business Services, US Bank and TSYS iSolutions. Your feedback on policies, procedures and program materials is welcome. A list of contact people is posted at http://www.bussvc.wisc.edu/purchcd/tabcontacts.html.