Handbook of Business Procedures
February 21, 2012
February 21, 2012
7.8. PROCUREMENT CARD (PROCARD) PROGRAM
The University of Texas at Austin offers university departments a Procurement Card Program for ordering supplies or business services. The program is a fast, flexible method of processing low-dollar value purchases from vendors that accept the MasterCard credit card.
The procurement card (Procard) is a MasterCard issued by Citibank. In order to obtain a Procard, an applicant must first become certified for its use, and recognize the responsibilities and liabilities that come with being a cardholder.
The Procurement Card Program is authorized by a contract between the Texas Comptroller of Public Accounts State of Texas Charge Card Program and Citibank. Cardholders may purchase nonrestricted commodities up to the maximum single-purchase limit without issuing a purchase order or entering an accounting transaction. The default single-purchase limit extended to Procard holders is $999. To obtain a higher single-purchase limit (up to $4,500), an administrative official from the cardholder’s department must send a written request justifying the need to the procurement card administrator.
For information on how to apply for a procurement card, see the Welcome to the Procurement Card Program website.
B. Policies and Guidelines:
The following rules and guidelines apply to Procard use:
- Purchasing procedures of The University of Texas at Austin and State of Texas Comptroller’s Office must be followed. For more information, see the Handbook of Business Procedures, Part 7.4. Purchasing Process.
- Purchases from vendors cannot be split in order to create single purchases that fall below the single-purchase spending limit of the Procard. If this occurs, it will result in loss of card privileges.
- A Procard is issued to an individual employee who has sole responsibility for the control and use of the card. The cardholder must keep all receipts or documentation for any purchases made and is responsible for verifying that all transactions listed on bank statements are valid and accurate.
C. Procard Restrictions
1. Allowed Purchases
The Procard may be used for purchases up to the cardholder’s maximum single-purchase limit. Examples of allowable purchases include:
- supplies: office, research, computer
- printing and duplicating services
- conference registration fees
2. Disallowed Purchases
The Procard may not be used for some types of purchases. For questions about whether a purchase is allowed, contact the procurement card administrator. Examples of items typically disallowed are:
- alcoholic beverages
- entertainment or travel
- food (including catering services)
- communication design services
- consulting services
- controlled substances, cylinder gasses, hazardous chemicals, radioactive material
3. Disallowed Vendors
Purchases from certain types of vendors are not allowed on the Procard. For questions about whether a vendor type is allowed, contact the procurement card administrator. The following are examples of vendor types that are disallowed, and any Procard charge for these types of vendors will be rejected at the retailer site:
- bars, taverns, nightclubs, restaurants
- airlines, airports, travel agencies
- hotels, lodging, campgrounds
- transportation services, boat rentals, cruise lines, marinas
- personal service providers: laundries, barbers, health spas, etc.
- professional services, membership organizations
- doctors, hospitals, schools
- Procurement Card Administrator
- Citibank: 800-248-4553 (for disputed transactions, lost or stolen cards)
- Office of Internal Audits (report fraudulent Procard use)