6309.32_4G13
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FOREST SERVICE HANDBOOK
SOUTHWESTERN REGION (REGION 3)
ALBUQUERQUE, NEW MEXICO
FSH 6309.32 – FEDERAL ACQUISITION REGULATION
CHAPTER 4G13 – SIMPLIFIED ACQUISITION PROCEDURES
Supplement No.: 6309.32-2008-1
Effective Date: August 22, 2008
Duration: This supplement is effective until superseded or removed.
Approved: FAYE L. KRUEGER
Deputy Regional Forester
Date Approved: 08/22/2008
Posting Instructions: Supplements are numbered consecutively by handbook number and
calendar year. Post by document; remove the entire document and replace it with this
supplement. Retain this transmittal as the first page(s) of this document. The last supplement to
this handbook was 6309.32-2004-1 to 6309.32.
New Document
6309.32_4G13
11 Pages
Superseded Document(s) by
Issuance Number and
Effective Date
id_6309.32_2007-1 (02/07/2007)
10 Pages
Digest: In order by code, summarize the main additions, revisions, or removal of direction
incorporated in this supplement.
4G13.301-72 – Revises responsibilities for Regional Director, Acquisition Management, and
administrative actions.
301-72 - Exhibit 01 – Updates administrative actions and reference to Human Capital
Management (HCM).
301-72 - Exhibit 02 – Updates reconciliation responsibilities to 30 days from date of purchase
R3 SUPPLEMENT 6309.32-2008-1
EFFECTIVE DATE: 08/22/2008
DURATION: This supplement is effective until superseded or removed.
6309.32_4G13
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FSH 6309.32 – FEDERAL ACQUISITION REGULATIONS
CHAPTER 4G13 – SIMPLIFIED ACQUISITION PROCEDURES
4G13.301 Government wide commercial purchase card.
Local Area Program Coordinators shall conduct audits in accordance with the Region 3 Internal
Process Plan.
4G13.301-72 Responsibilities
(a) General responsibilities for the purchase card program:
(1) Individual units are responsible for accomplishing their micro purchasing, even
under circumstances where certain cardholder privileges have been suspended or revoked.
(2) Cardholders are responsible for reconciling their accounts.
(3) The cardholder’s supervisor is responsible for the cardholder’s proper use of the
card and checks (current check writers) and proper expenditure of funds. Supervisors shall
recommend appropriate personnel action in the event of purchase card or convenience check
abuse.
(b) Regional Policy:
(1) Ensure that the Local Area Program Coordinator (LAPC) function is staffed at a
level and quality at which good performance can be attained.
(2) Provide adequate training and regional-level assistance for LAPC’s.
(3) Involve cardholder supervisors directly in the Purchase Card Program:
(i) Selecting who will have a card.
(ii) Monitoring card use and cardholder performance.
(iii) Keeping informed of Acquisition Management and Fiscal actions related to
cardholder performance.
(4) Keep the Procurement Officials involved in management of the program.
(5) Ensure that Financial Management participates in audits and, where required, in
necessary corrective actions.
(6) Supervisors of cardholders must follow the guidelines identified in 301-72 –
Exhibit 01.
(7) To ensure cardholder compliance with regulation and policy, acquisition
personnel will follow the administrative actions listed in 301-72 – Exhibit 01.
(c) Administrative Actions:
(1) An analysis of purchase card and check transactions indicate errors involving
statute or regulation, and policy and procedure.
(2) 301-72 – Exhibit 01 shows the type of errors typically found in the micropurchase program and the administrative actions, which are taken by acquisition personnel when
these errors are discovered. Each situation requires analysis. For example:
(i) Is this an isolated incident or part of a pattern from this cardholder?
(ii) Is this occurring with many cardholders suggesting that there is a weakness in
the training?
(iii) Does this seem to stem from a lack of knowledge?
(iv) Does this seem to stem from a lack of care?
(v) Does this seem to be deliberate?
(3) The administrative actions in 301-72 - Exhibit 01 apply only to administration of
the cards. More severe administrative actions may be warranted based on the analysis of the
R3 SUPPLEMENT 6309.32-2008-1
EFFECTIVE DATE: 08/22/2008
DURATION: This supplement is effective until superseded or removed.
6309.32_4G13
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FSH 6309.32 – FEDERAL ACQUISITION REGULATIONS
CHAPTER 4G13 – SIMPLIFIED ACQUISITION PROCEDURES
given situation. In addition to these administrative actions, the employee may also be subject to
disciplinary actions, including removal.
(4) Procedurally, once an error is discovered, the LAPC will gather the relevant
information and review it with their respective Procurement Official. The appropriate
administrative action will be taken at the lowest permissible level. Those that are reserved for
the Director, Acquisition Management will be submitted with a written recommendation for
appropriate action. Administrative actions associated with specific organizational levels are as
follows:
(i) Ratification, Personal Use, and cancellation of the card – Director, Acquisition
Management (See FSH 6309.32, 4G01).
(ii) Reduction of the Single Purchase Limit (SPL) to $1 – LAPC/RAPC for
unreconciled accounts. Other infractions, Procurement Official.
(iii) Letter(s) to cardholder – Procurement Official.
(iv) E-mail to cardholder – Local Area Program Coordinator.
(5) The tables are divided into two sections. The first table describes those actions
required by law or regulation, and the second table describes actions required by policy or
procedure.
(i) Cancel card means to revoke the cards and/or checks and close out the
account.
(ii) Card to $1 means: The single purchase limit is reduced to $1. If the
cardholder were also a check writer, check-writing authority would also be reduced to $1.
(iii) Ratification means following the regional procedures for ratification. It is
recognized that paying the bill is not dependent on the outcome of the ratification process.
Rather, the process is necessary because the purchase (or set of purchases) is actually outside the
cardholder’s authority and thus becomes an “unauthorized commitment”.
(iv) Supervisor means the cardholder’s first line supervisor.
(v) Treat as new application means that the former cardholder must take the
current required training.
(vi) Split purchase means splitting requirements into several purchases to avoid
the cardholder’s delegated single purchase limit.
(vii) Personal preference means unjustified procuring of a supply or service from
other than a mandatory source or procuring an extravagant service or supply where an
appropriate one already exists.
(viii) Personal use means use of the card for other than official government
purposes.
(ix) Procurement Official means Lead Contracting Officer or Zone Lead
Contracting Officer or RO Lead Contracting Officer.
R3 SUPPLEMENT 6309.32-2008-1
EFFECTIVE DATE: 08/22/2008
DURATION: This supplement is effective until superseded or removed.
6309.32_4G13
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FSH 6309.32 – FEDERAL ACQUISITION REGULATIONS
CHAPTER 4G13 – SIMPLIFIED ACQUISITION PROCEDURES
301-72 – Exhibit 01
Problem
Split Purchase
Exceed authority
Personal Preference
Personal Use
Mandatory Source
Violation
ADMINISTRATIVE ACTIONS
–
Statutory/Regulatory Issues
st
1 Occurrence
Ratification; card to $1 for 60 days.
Reinstatement only on supervisor
request and Procurement Official
Approval. (Statement of Facts and
consideration by Procurement Official.)
Ratification; card to $1 for 60 days.
Reinstatement only on supervisor
request and Procurement Official
Approval. (Statement of Facts and
consideration by Procurement Official.)
Letter to employee (cc: supervisor)
explaining error. Cancel card. *
Letter to employee (cc: supervisor) with
statement of facts. Letter from
supervisor to Regional Office, Director
of AQM, for consideration of
reinstatement. *
Letter to employee (cc: supervisor)
explaining error. Card to $1 for 30
days. Reinstatement only on supervisor
request and Procurement Official
Approval.
Repeat occurrence within
a 12-month period
Ratification; cancel card;
after 12 months, supervisor
may request another card;
treat as new application.
Ratification; cancel card;
after 12 months, supervisor
may request another card;
treat as new application.
N/A
Cancel card; after 12
months, supervisor may
request another card; treat
as new application.
Letter to employee
(cc: supervisor) explaining
error; card to $1 for 60
days; reinstatement only on
supervisor request and
Procurement Official
Approval.
R3 SUPPLEMENT 6309.32-2008-1
EFFECTIVE DATE: 08/22/2008
DURATION: This supplement is effective until superseded or removed.
6309.32_4G13
Page 5 of 10
FSH 6309.32 – FEDERAL ACQUISITION REGULATIONS
CHAPTER 4G13 – SIMPLIFIED ACQUISITION PROCEDURES
301-72 - Exhibit 01—Continued
Problem
ADMINISTRATIVE ACTIONS
–
Statutory/Regulatory Issues
1st Occurrence
Purchase contrary to law or
regulation (See PCMS
Guide and Micro-Purchase
Guide)
Letter to employee (cc: supervisor)
explaining error. Card to $1 for 30
days. Reinstatement only on
supervisor request and Procurement
Official Approval.
Purchase w/o necessary
approvals (such as,
Advisory & Assistance, and
SF182)
Letter to employee (cc: supervisor)
explaining error; 30 days to present
proper approval. Failure to obtain
approval, card to $1 for 30 days or
until approval obtained, whichever
is longer. Reinstatement only on
supervisor request and Procurement
Official approval.
Unauthorized use of card for Letter to employee (cc: supervisor)
travel related expenses
explaining error. Card to $1 for 60
days. Reinstatement only on
supervisor request and Procurement
Official approval.
Other policy violations
Letter to employee (cc: supervisor)
explaining error. Card to $1 for 60
days. Reinstatement only on
supervisor request and Procurement
Official approval.
Repeat occurrence within
a 12-month period
Letter to employee
(cc: supervisor) explaining
error; card to $1 for 60
days; reinstatement only
on supervisor request and
Procurement Official
Approval.
Letter to employee
(cc: supervisor) explaining
error; 30 days to present
proper-approval. Failure
to obtain approval, card to
$1 for 60 days or until
approval obtained, whichever is longer.
Reinstatement only on
supervisor request and
Procurement Official
approval.
Cancel card; after 12
months, supervisor may
request another card; treat
as new application.
Cancel card; after 12
months, supervisor may
request another card; treat
as new application.
R3 SUPPLEMENT 6309.32-2008-1
EFFECTIVE DATE: 08/22/2008
DURATION: This supplement is effective until superseded or removed.
6309.32_4G13
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FSH 6309.32 – FEDERAL ACQUISITION REGULATIONS
CHAPTER 4G13 – SIMPLIFIED ACQUISITION PROCEDURES
301-72 - Exhibit 01—Continued
Problem
ADMINISTRATIVE ACTIONS –
Statutory/Regulatory Issues
st
1 Occurrence
Failure to reconcile in 30
E-mail to employee (cc: supervisor);
days. (Time starts from date 15 days to correct. Failure to
of purchase.)
correct, card to $1 for 30 days or
correction, whichever is longer.
Reinstatement only on supervisor
request and Procurement Official
approval.
Failure to reconcile within
60 days. (After card
reduced to $1. Time starts
from date of purchase.)
Incomplete reconciliation
(such as, no/inadequate item
description; no Debt
Collection Act Waiver
citation; no attempt to
change Budget Object
Codes)
Cancel card. Supervisor may
request reinstatement after 12
months.
Incorrect budget object
codes (valid attempt)
E-mail to employee (cc: supervisor)
explaining error; 15 days to correct.
Failure to correct, card to $1 for 30
days or correction, whichever is
longer. Reinstatement only on
supervisor request and Procurement
Official approval.
E-mail to employee (cc: supervisor);
15 days to correct. Failure to
correct, card to $1 for 30 days or
correction, whichever is longer.
Reinstatement only on supervisor
request and Procurement Official
approval.
Repeat occurrence within
a 12-month period
2nd occurrence: E-mail to
employee (cc: supervisor);
15 days to correct. Failure
to correct, card to $1 for 60
days or correction, whichever is longer; reinstatement only on supervisor
request and Procurement
Official approval.
3rd occurrence: Cancel
card. Supervisor may
request reinstatement after
12 months; treat as new
application.
N/A
E-mail to employee
(cc: supervisor); 15 days to
correct. Failure to correct,
card to $1 for 60 days or
correction, whichever is
longer; reinstatement only
on supervisor request and
Procurement Official
approval.
E-mail to employee (cc:
supervisor); 15 days to
correct. Failure to correct,
card to $1 for 60 days or
correction, whichever is
longer. Reinstatement only
on supervisor request and
Procurement Official
approval.
R3 SUPPLEMENT 6309.32-2008-1
EFFECTIVE DATE: 08/22/2008
DURATION: This supplement is effective until superseded or removed.
6309.32_4G13
Page 7 of 10
FSH 6309.32 – FEDERAL ACQUISITION REGULATIONS
CHAPTER 4G13 – SIMPLIFIED ACQUISITION PROCEDURES
301-72 - Exhibit 01—Continued
Problem
ADMINISTRATIVE ACTIONS
–
Statutory/Regulatory Issues
1st Occurrence
Inadequate or non-existent
documentation
E-mail to employee (cc: supervisor);
15 days to correct. Failure to
correct, card to $1 for 30 days or
correction, whichever is longer.
Reinstatement only on supervisor
request and Procurement Official
approval.
Use of incorrect funds
(such as, Accounting
Information)
Budget to take the lead in seeking
correction. E-mail to employee (cc:
supervisor); 15 days to correct.
Failure to correct, card to $1 for 30
days or correction, whichever is
longer. Reinstatement only on
supervisor request and Procurement
Official Approval.
Repeat occurrence within
a 12-month period
E-mail to employee (cc:
supervisor); 15 days to
correct. Failure to correct,
card to $1 for 60 days or
correction, whichever is
longer. Reinstatement
only on supervisor request
and Procurement Official
approval.
Budget to take the lead in
seeking correction. E-mail
to employee (cc:
supervisor) 15 days to
correct. Failure to correct,
card to $1 for 60 days or
correction, whichever is
longer. Reinstatement
only on supervisor request
and Procurement Official
Approval.
* Refer to Human Capital Management (HCM) for possible disciplinary action. These problems
may result in criminal or disciplinary action in addition to the Administrative Actions. Reference
DPM Chapter 751, Amendment 230, Guide for Disciplinary Penalties.
http://www.usda.gov/da/employ/apsd/dpm751a502working.pdf
R3 SUPPLEMENT 6309.32-2008-1
EFFECTIVE DATE: 08/22/2008
DURATION: This supplement is effective until superseded or removed.
6309.32_4G13
Page 8 of 10
FSH 6309.32 – FEDERAL ACQUISITION REGULATIONS
CHAPTER 4G13 – SIMPLIFIED ACQUISITION PROCEDURES
301-72 - Exhibit 02
Guideline for Supervisors of Micro-Purchasers
Congress established the concept of micro-purchases (those up to $3,000 for supplies, $2,500 for
services, $2,000 for construction), and stated that the purchase card would be the tool of choice
for making micro-purchases.
(a) Requesting Cards and Checks
To exert proper control and management over the micro-purchase activity, cardholders’ first line
supervisors need to be involved. This guideline will assist supervisors to understand their role in
managing the program.
Following is a list of questions to consider in deciding whether or not you need your employee to
have a purchase card:
Yes
No
Does employee’s work assignment require frequent purchase of supplies or
services—at least once a month on average?
Does employee’s work assignment require providing lodging and meals for
his/her crew on fire assignments?
Is employee located at a work site away from other micro-purchasers?
Does work group have anyone else to handle micro-purchase transactions?
Does your work group need a backup person for micro-purchase
transactions when the principal micro-purchaser is not available?
The authority to do micro-purchasing carries with it the responsibility to reconcile the
transactions within 30 days from the date of purchase through the Purchase Card Management
System (PCMS):
Yes No
Does the cardholder have reasonable access to PCMS?
Are you willing to give the cardholder the time necessary to reconcile the
account on a regular basis
Are you willing to monitor the cardholder’s micro-purchasing activities to the
extent that you know what is being bought, how much is being spent, and that
the account is being properly reconciled each month?
Do you feel you have an adequate knowledge of general acquisition rules as
they apply to micro-purchasing so that you can monitor your micro-purchasers
and do not inadvertently ask the micro-purchaser to make a transaction which
violates regulation or policy?
R3 SUPPLEMENT 6309.32-2008-1
EFFECTIVE DATE: 08/22/2008
DURATION: This supplement is effective until superseded or removed.
6309.32_4G13
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FSH 6309.32 – FEDERAL ACQUISITION REGULATIONS
CHAPTER 4G13 – SIMPLIFIED ACQUISITION PROCEDURES
301-72 - Exhibit 02--Continued
(b) Monitoring your Micropurchaser(s)
Although micro-purchasers are responsible for the actions they take in using the micro-purchase
tools, you as the supervisor are responsible for the actions of your employees. If you are the
fund holder for the money being used, you are also ultimately responsible for the proper
expenditure of those funds. Because of these responsibilities, you may be well served to monitor
your micro-purchaser’s use of the cards and checks. Here are some ways you might do that:


Require the micro-purchaser to get your approval before making any transaction, or
before making transactions above a certain dollar level.
Ask the micro-purchaser to provide you a copy of a CARDHOLDER REPORT on a
regular basis (monthly, for example). This report can also be obtained from LAPC.
This report contains the following kinds of information:
o Merchant Name
o Purchase Date
o Amount
o Accounting Code(s)
o Item description (if the micro-purchaser has inserted the information)
o Whether or not the transaction has been approved
This information will tell you where purchases are being made, what is being purchased, to what
fund code (job code) it is being charged, and whether or not the cardholder is doing a timely and
complete job of reconciling the account.


If for some reason you prefer that your cardholder not be aware of your
monitoring activities, you can request a similar report from the Local Agency
Program Coordinator (LAPC) — the acquisition official responsible for the
Purchase Card program on your unit.
You may request a report from the LAPC, which shows how much money, was
charged for card transactions to a particular job code for a given period of time.
The report also shows who made the transactions.
(c) Working with Acquisition Personnel
Success in managing the micro-purchasing program will be greatly enhanced by close
cooperation between you and the Acquisition personnel servicing your unit. Some things you
should expect from Acquisition (in addition to the reports mentioned earlier):
R3 SUPPLEMENT 6309.32-2008-1
EFFECTIVE DATE: 08/22/2008
DURATION: This supplement is effective until superseded or removed.
6309.32_4G13
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FSH 6309.32 – FEDERAL ACQUISITION REGULATIONS
CHAPTER 4G13 – SIMPLIFIED ACQUISITION PROCEDURES
301-72 - Exhibit 02--Continued





Both initial and refresher training for your micro-purchasers. Cardholders shall
complete FS 6300-53, Micro-Purchase Card Authorization/Training Certificate
for training.
Appropriate advice on the legitimacy of transactions about which you have
questions.
Receive (or be shown where to get) appropriate acquisition training for yourself if
you feel it is needed.
Receive guidance in understanding the administrative actions to be taken if one of
your micro-purchasers commits an infraction of one of the rules.
Receive copies of e-mails and/or hard copies of letters directed to your micropurchasers.
In the case of a serious infraction, you can expect to receive a recommendation that you consider
disciplinary action.