The University of Texas
Medical Branch
Procurement Card Program
September 1st, 2015
Procurement Card Program Administrator:
Norma Dryer
Ext. 61101
Procurement Card
Guidelines
 Used
to purchase NON-Restricted
goods & services for official UTMB
business within a Cardholder’s preestablished limit
 All purchases are exempt from State
of Texas sales taxes
 Transactions may not be split to
divide large purchases which are over
the cardholder’s limit
Compliance Guidelines
The Procurement Card Program:
 Will be administered and monitored
for compliance with all applicable
federal, state, and local laws
 Is NOT intended to supercede or
bypass any compliance with U.T. or
U.T.M.B. rules or regulations
 Must comply with the UTMB HUB
Program Guidelines and Goals
Not For Purchase Orders
Payments!
Procurement Card Payments must only be
non-purchase order transactions
 If a UTMB purchase order has been issued
to the vendor, the payment must not be
made with the Procurement Card
 Why? The encumbrance created by the
purchase order will not be liquidated and
funds will not be released back to the
department budget balance
 Possible Duplication of Payment
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Simplified Procurement
Card Purchasing
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Cardholder makes authorized purchases from
approved venders.
Cardholder logs Purchase in Transaction Log
Goods are shipped by supplier and received by
Cardholder
Cardholder attaches receipts and other supporting
documentation to Transaction Log
Department Coordinator reconciles monthly
statements with Transaction Logs for accuracy
Department Coordinator retains all documentation
according to UTMB Records Retention Schedule
Procurement Card Payments
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Citi Bank pays merchants in 24 to 48 hours
Citi Bank provides detailed statements for UTMB
Cardholders to the Procurement Card Program
Administrator for distribution to Department
Coordinators
Detailed statements for each card will be
distributed monthly to the Department
Coordinators for reconciliation
Employees do not pay their own monthly
statements
• The program does not affect your credit rating
in any way
Charge Allocation
Each Procurement Card has an assigned
default funding source.
 All charges will post to the default fund
source PeopleSoft CFS unless the Dept.
Coordinator re-allocates the charge to
another approved fund source.
 A federal fund source or a project may not
be used as a Primary fund source, unless a
Secondary Fund Source is provided as well
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Dispute Resolution
The Cardholder is responsible for resolving all
disputed charges
 First, Cardholder contacts the vendor to see if
dispute can be resolved with the vendor
 If the dispute cannot be resolved, the Cardholder
must complete a “Statement of Disputed Items”
form and send it to Citi Bank ASAP.
 Failure to take immediate and appropriate action
violates the Cardholder’s delegated fiduciary
responsibility to safeguard UTMB assets and could
result in a loss to UTMB and Card cancellation
Reporting Lost/Stolen Cards
Call 1-800-248-4553
The Cardholder Must:
 Notify Citi Bank IMMEDIATELY!!
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• The University is responsible for all charges
incurred until notification
• The bank will inactivate your card and issue a
new card
Notify, in writing, the Procurement Card Program
Administrator, the Department Coordinator, and
Department Head immediately
Responsibility of
Procurement CardHolder
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Attend training/online classes when notified to
Understand your fiduciary responsibility to UTMB
and consequences for misuse of State property
Read and understand the Program Guide
Make only authorized purchases within
transaction and monthly limits excluding State of
Texas sales taxes
Retain all receipts/support documentation and
maintain up-to-date organized Transaction Log
Resolve ALL disputed charges in an expeditious
and professional business like manner
Key Points for the
Cardholder
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Your Procurement Card is UTMB Property
Your Procurement Card is issued in your name
• All purchases made on your Procurement Card
must be for official UTMB business only
• You are responsible for the security of the
Procurement Card and the transactions made
with it
Failure to follow the guidelines when using the
Procurement Card, could result in disciplinary
action up to and including termination, and possible
criminal prosecution.
Department Coordinator’s
Responsibilities
Disseminate Information
 Primary Contact for Procurement Card
Program Administrator
 Verification of Documentation
 Insure compliance with UTMB Records
Retention schedule
 Allocation of transactions to appropriate
fund source
 Oversee Department Internal Controls
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Specific Problem Areas
No Receipt
 Sales tax charged
 Inappropriate item purchased- Food, Gifts,
Awards or Prizes to Employees
 No Memberships Allowed!
 No equipment Allowed!
 No Office Supplies Allowed!
 Failure to keep complete records, and
transaction log, in an organized fashion
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Specific Problem Areas
Incomplete delivery address instructions
on packages (Purchaser full name, bldg
address, ”L” room number, and contact
phone number)
 Failure to confirm Vendor “Warrant Hold”
status and note on the Transaction Log
 Failure to confirm HUB status and note on
the Transaction Log
 No Authorized Signatures on Log when
using non-default funding sources
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Compliance Issues
Institutions of higher education (UTMB)
must verify a vender is not “On Warrant
Hold” with the state of Texas for all nonemergency purchases over $500.
 Purchase of services – IRS 1099
 Records Retention
 No Equipment allowed on P-Card, use PO
process only !
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Very Important Cardholder
Agreement Statement
I AGREE TO USE THIS CARD FOR UTMB APPROVED PURCHASES
ONLY and agree not to charge any personal purchases on my UTMB
Procurement Card. I understand that UTMB will audit the use of my
card and report any irregularities or discrepancies to the Vice President
of Business Operations and Facilities.
I FURTHER UNDERSTAND that improper use of my UTMB Procurement
Card may result in disciplinary action including termination of
employment and possible legal prosecution. Should I fail to use this
card properly, I understand that UTMB will withhold any and all
payments from me until such time that an amount equal to the amount
of the debt or the discrepancy is repaid by me regardless of my UTMB
employment status.
Cardholder Signature
Remember
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Dept. Coordinators can not be
Cardholders
All fields on the ”Transaction Log” must
be completed
Warrant Hold - Purchases of $500 or
more
Important Contacts
 Citi Bank
Contact Number
 1-800-248-4553
 Procurement Card Program Administrator:
Norma Dryer, 409-266-1101
 State of Texas Vendor Hold Status
http://intranet.utmb.edu/warranthold/
 Texas HUB Vendor
http://www.window.state.tx.us/procurement/cmbl/hubonly.html
Inherent P-Card Risks
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Failure to follow Guidelines
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Incorrect Classification of Expenditures
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Fraud / Theft
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Bad Publicity
QUESTIONS
Procurement Card Program Administrator:
Norma Dryer
Ext. 61101