state of new mexico procurement card (p-card) program
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State of New Mexico Procurement Card (P-Card) Program. Procurement Card Training February 27, 2013. State Agencies Using or Interested in the P-Card Program. Currently t here are 28 State A gencies that are on the P-Card program - PowerPoint PPT PresentationTRANSCRIPT
State of New MexicoProcurement Card (P-Card) Program
State of New MexicoProcurement Card (P-Card) Program
Procurement Card Training
February 27, 2013
Procurement Card Training
February 27, 2013
State Agencies Using or Interested in the P-
Card Program
Currently there are 28 State Agencies that are on the P-Card program
There are 4 Additional State Agencies that are Interested in Utilizing the P-Card program
A.K.A P-Card or Purchasing Card
The State of New Mexico’s Charge Card– For Goods– For Services– For Emergencies – For State Agency Frequent Individual Travelers
Alternate Method of Payment to the Procurement Code Process
Bank of America – VISA Product
What is a Procurement Card? What is a Procurement Card?
Streamline Payment Process Eliminate Direct Purchase Orders Reduce Purchase Documents Reduces Payment Vouchers Future Electronic Submission of Payment to the
Bank of America Elimination of Non-Taxable Transaction
Certificates (NTTCs) for Goods Only To Incorporate as Many State Agencies as Possible
Goals of the ProgramGoals of the Program
P-Card Benefits
Quicker Payment to Vendors Reduces Preparation of Individual Purchase
Orders and Payment Vouchers Procurement Items are Received
Immediately Rebates for the State of New Mexico 1099 Reporting Form for P-Card is no
Longer Required
1099 Reporting Form
Department of Finance and Administration (DFA) - Financial Control Division (FCD) Statewide Procurement Card Policies and Procedures
State Agency Internal Policies and Procedures Procurement Code and State Statutes State Agency Agreements State Agency Cardholder Agreements
General Policies
Exemption from Attaching Supporting Documentation (i.e. Invoices and Receipts)
Exemption from Encumbrance Requirements – P-Card Only
Purchases Over $1,500 Must Comply with Procurement Code – State Contract/Price Agreements
Policy Exemptions
Eligible Purchases
May Be Used for Purchases Equal to or Under $1,500 and
Goods and Services Included in Price Agreements Approved by the State Purchasing Division of the General Services Department (GSD) - Over $1,500
Travel for State Employees Conducting Frequent Official State Business
Limitations/Restrictions
Vendors Must Accept Visa Pursuant to Approved MCCs “Procurement
Card Listing for Restricted Items” No Personal Charges No Cash Advances/Instruments Allowed No Cardholder Sharing P-Card Does Not Work at State Agencies
(For Example: State Printing)
Card Misuse
Cardholder is Responsible/Liable for Card and it’s Use
Seek Full Restitution Plus Interest Disciplinary Action, Up to and Including
Termination of P-Card Program DFA/FCD Prerogative to Revoke Card(s)
How Do I Use It?How Do I Use It?
Creation of a Internal Purchase Requisition
(IPR) for Approval Before Purchase
Same as a Regular Credit Card
Catalog Orders
Internet Orders
Does not Circumvent the Procurement Process
Internal Purchase Requisition Log
Division Requestor's Name Date
MFGUNIT SIZE COLOR Product # Price Total
Total: 0
OBJ ECT CODE ORG. CODE
I certify the proposed purchase represented in this document is authorized and is made in accordance with all State (and if applicable
Federal) legislation, rules and regulations. I further certify that adequate unencumbered cash and budget authority exists for this
proposed purchase and all other outstanding purchase commitments and accounts payable.
Cardholder Date
Approve □ Disapprove □Authorized Signature Date
DEPARTMENT OF FINANCE AND ADMINISTRATIONAdministrative Services Division
Internal Requisition Form
ITEM DESCRIPTIONRECOMMENDED VENDOR
QTY (REFERENCE - CATALOG, ETC)
AMOUNT CERTIFICATION AND APPROVAL
Payment of Charges
Consolidated Billing Statement Sent to the Agency
Single Fund Payment to Bank of America (BofA)
Payment Voucher for BofA Must be submitted to FCD within 15 days of BofA Statement Issued Date
NO LATE PAYMENTS
Prior to Making Payment to Bank of America
State Agency P-Card Administrator or a Designated State Agency Cardholder will Need to Reconcile to Receipts of all Charges Listed on the Monthly Billing Statement Prior to Sending a Payment Voucher to DFA/FCD for Processing a Payment to the Bank of America
Supporting Documentation Required to Make Payment for the P-Card
Payment Voucher Batch Report On the Invoice Information Tab of the Payment
Voucher, Card Number and \ Must be Entered Monthly Billing Statement Signed Affidavit for Receipts
Budget/Credit MonitoringBudget/Credit Monitoring
State Agencies Must Develop Internal Policies and Procedures on How the P-Card Will be Used
Budget Must Be Available Prior to Purchase
State Agencies Must Follow FCD’s Year-End Closing Instructions Related to the P-Card
WORKS Software is Available to Monitor Credit Limit and Purchase Activity
Travel General Polices
Agency Travel Policies and Procedures
Authorization from FCD and State Agency Program Administrator to use P-Card for Travel
Must Abide to the Per Diem and Mileage Act and DFA Rule 95-1 Regulations Governing the Per Diem and Mileage Act
Individual Travel P-Card
P-Card Issued Solely for State Employees that Conduct Frequent Travel for Official State Business
Limited to: Lodging, Renting Vehicles, Purchasing Airline or Common Carrier Fare, Baggage Fees, Meals and Gasoline for the Rental Car
Post Audit on P-Card
Financial Control Division Auditor will Conduct Post-Audit
Post Audits Conducted Monthly – However, FCD May at any Time Perform an
Internal Audit of an State Agency that Utilizes the P-Card
Post Audit Guidelines Post Audit Form
Why is a Post Audit Needed?
Verify Compliance with– DFA/FCD Policy and Procedures– New Mexico Procurement Code– New Mexico State Statutes
Monitor– Transaction Types– Amount of Transactions– Proper Allocation of Transaction Types
What Happens if there are Findings on a Post-Audit?
FCD Auditor Will Notify the State Agency’s Chief Financial Officer (CFO)
– Memo– Copy of the Check List Form– Copies of All Documentation in Need of
Correction
Keep in Mind and Consequences
FCD Reports to the Governor’s Office on the Status of the P-Card Program
Failure to Comply with any of the P-Card Policies and Procedures will Result in a Revoked P-Card Program for the State Agency
How to Get Started?
State Agency Must Establish Internal Policy and Procedures
State Agency’s Management Approval Assess Current Purchasing and Payment
Practices Decide on Cardholders Identify Spending Limit
Things to Remember
Read and Understand Your Policies and Procedures Be Aware of Restricted and Allowable Purchases Retain all Your Receipts Keep Transaction Logs Up-to-Date Review and Reconcile Your Monthly Statements
Timely for Payment Voucher Submission to FCD No Cardholder Sharing No Longer Required to Submit the 1099 Reporting
Form for P-Card
Questions?
Useful Websites
Financial Control Division– http://
www.nmdfa.state.nm.us/Financial_Control.aspx State Purchasing Division
– http://www.generalservices.state.nm.us/statepurchasing/
New Mexico Administrative Code– http://www.nmcpr.state.nm.us/nmac/