RESPONSIBLE CITY AGENCY: Accounting Division
KEYWORDS: purchasing, small dollar purchases, petty cash, procurement
1. General
1.1 The purpose of the Salt Lake City procurement card (sometimes referred to as Pcard or purchasing card) program is to establish a more efficient and cost-effective method of paying for small dollar transactions.
1.2 This program is designed to replace small dollar department purchase orders and the use of personal funds for City transactions. It is also intended to decrease the use of small purchase checks, small dollar Account Payable checks, EFTs, and petty cash.
1.3 Procurement cards are a decentralized procurement method that the City utilitizes for employees that purchase goods or services regularly for the City.
1.4 If available to the employee, procurement cards are intended to be used before other purchasing methods such as the small purchase checks or petty cash.
2. Use of procurement cards
2.1 Procurement cards are not intended to avoid or bypass established and appropriate procurement, voucher, contract or payment policies and procedures. Rather, the program is intended to compliment the existing processes already at work within the City.
2.2 The procurement card can be used for in-store purchases as well as purchases by mail, phone, fax, or the Internet. Use of the card does not relieve the cardholder from complying with any applicable Federal, State or City regulations.
2.3 Procurement cards may not be used for the following:
A. Any purchase totaling more than $2,500.
B. Out of town travel and entertainment.
C. Car rentals
D. Any personal expenditures, reimbursed or not.
E. Inappropriate use of City funds according to other City policies.
F. Paying in advance for a service to create a “credit” balance so as not to have to pay the vendor with each transaction.
G. A down-payment on any product or catering service that may exceed $2,500.
2.4 The credit card number attached to each procurement card is not to be left with the vendor so the vendor can use as needed (by setting up an “account” with the vendor) except with the use of ghost cards.
2.5 Use of procurement cards in a manner not in accordance with any of the established policy or procedures will result in disciplinary action that may include, but not be limited to, the entire department losing the privilege of the use of these cards.
CURRENT REFERENCES: Accounting Division Small Purchase Check Procedures
EFFECTIVE DATE: July 25, 2007
EFFECTIVE DATE OF CURRENT REVISION (Date signed by Mayor): April 8, 2009
(Amendment raises allowable limit on purchases to $2,500)