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Ne Purchase Order Accounts Payable Terms' - PDF

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					                             WELLSONE COMMERCIAL CARD PROGRAM
                                  POLICIES AND PROCEDURES
Overview 
General Purchasing Guidelines 
  Cardholder Responsibilities 
  Delivery 
  Sales Tax Exemption 
  Types of Purchases 
  Declined Card 
  Misuse of Card, poor record keeping, online reconciliation and approval 
  Disciplinary Procedure for Misuse of Card or Poor Record Keeping 
Reconciliation process 
  On Line Wells Fargo Process 
Payment 
General Cardholder Information 
  Program Administrator Contact Information 
  Foreign Travel 
Cardholder Maintenance 
Transaction Dispute Resolution 
  Lost or Stolen WellsOne Cards 



                                                   OVERVIEW
The WellsOne Commercial Card Program for the University of St. Thomas is a Visa-based, cost-effective method of
purchasing and remitting payment. Faculty or staff may obtain a WellsOne card by completing the application and
obtaining the required approvals. There is one general profile offering three spending limits within the WellsOne
program which are defined below.

                                                Monthly Limit Single Transaction Limit
                      Basic Purchasing Needs        2,000               1,000
                      Purchasing & Travel           5,000               3,000
                      Travel with Students         10,000               5,000

The card is to be used for approved departmental materials, travel, and entertainment expenses. The method of use
can be for in-store, fax, internet, mail or phone purchases.

The card is intended to be used in compliance with UST policies and the guidelines established within this
document. Purchases are subject to and in concert with policies as established in the Employee Reimbursement
Program and other university spending policies. Cardholders will be held responsible for all information contained
within this policy. Cardholder signatures on the Application and User Agreement along with approval from the
supervisor indicate that the cardholder understands the purpose of this program, and agrees to adhere to the policies
and record-keeping requirements established for the program.

Funds expended under this credit card program are university funds. The cardholder has the responsibility to
purchase goods that meet university policy, sound business practices, and IRS guidelines. Under this program, all
credit cards and purchases made with the card are the property of the university. The card is not to be used for
personal expenditures.


                                                         1
Monthly online reconciliations and approvals are required and essential to ensure the success of this program.
Standard reimbursement policies require retention of original itemized receipts. Failure to substantiate purchases
with original documentation, or other misuse of the WellsOne card may result in disciplinary action, including but
not limited to deactivation of your card, reimbursement to the university, reportable/taxable income to you,
termination and/or legal action under Human Resources Policies and Procedures. Revoked WellsOne Commercial
Cards will not be reinstated.

                                 GENERAL PURCHASING GUIDELINES
The card may be used for all university-related purchases as authorized within this program. Note that not all
commercial suppliers accept Visa transactions.

CARDHOLDER RESPONSIBILITIES
Cardholders will be held responsible for all information contained within this policy. Cardholder
signatures on the Application and User Agreement along with approval from the supervisor indicate that
the cardholder understands the purpose of this program, and agrees to adhere to the policies and record-
keeping requirements established for the program.

Cardholders must keep their card in a secure location and keep their card number confidential.
Cardholders must know their monthly limits. Travel arrangements should be made for only the cardholder
and not on behalf of other travelers. Original itemized receipts are required. Obtain a receipt for each card
transaction.

DELIVERY
All purchases made with a card are to be delivered directly to the university. Delivery to any place other than UST
will result in immediate revocation of card privileges and disciplinary action per these policies.

The card may not be used in instances where a purchase may result in any items being backordered for future
delivery. Transactions must be a one-time purchase with a one-time delivery.

SALES TAX EXEMPTION
Merchants are usually required by tax authorities to include sales and use tax at the time you purchase goods. The
amount is dependent on a variety of factors, including the state, county, and city where you are purchasing goods. It
is the cardholder’s responsibility to notify the vendor that UST is tax exempt. The sales tax exempt number
is printed on the card. The sales tax exempt number may not be used for any other purpose than for purchases for
the university. Cardholders may not share this number with other persons. Cardholders who neglect to provide the
sales and use tax exempt number to merchants may find themselves personally obligated to repay said charges to the
university.

Guidelines for UST’s sales tax exemptions are as follows:
   • Items purchased in or delivered to MN are exempt
   • Items purchased in another state and not delivered to MN are taxable
   • Meals and lodging are always taxable
   • UST sales tax exemption does not apply to other excise taxes (i.e., airline taxes)




                                                          2
TYPES OF PURCHASES
The following should be used as a general guideline for types or purchases that can be made using the WellsOne
card..

Please keep in mind that the cardholder should only make travel arrangements for themselves and not for others.
This includes conference registrations. Also, travel arrangements, registrations or memberships should not be made
on behalf of the cardholder’s approver as they require the appropriate approvals as well.

       TYPE OF EXPENDITURE                                     WELLSONE CARD
 Airfare                                                            Allowed
 Alcohol (liquor stores)                                          Disallowed
 Capital equipment over $3,000                       Disallowed (use Purchase Requisition)
 Cell phones, palm pilots, internet               Disallowed (contact Controller’s Office)
 or phone support services              http://www.stthomas.edu/controllersoffice/RemoteAccess.htm
 Computers hardware and                                  Disallowed (contact IRT)
 software
 Consulting services                                Disallowed (use Accounts Payable form)
 Firearms, weapons, or illegal                                    Disallowed
 substances
 Furniture of any kind                        Disallowed (contact Physical Plant-Interior Design)
 Gift certificates                                                Disallowed
 Ground transportation (i.e., cabs,                                Allowed
 rental cars)
 Hazardous materials                                 Disallowed (use Purchase Requisition)
 Hotels and lodging                                                 Allowed
 Instructional materials                                            Allowed
 Lab Supplies                                                       Allowed
 Meals and Entertainment                                            Allowed
 Office supplies not available                                      Allowed
 through Corporate Express or
 Office Depot
 On-campus food deliveries (i.e.                                      Allowed
 Davanni’s)
 Payments to individuals (non-                   Disallowed (use Independent Contractor form)
 employees)
 Personal purchases                                                 Disallowed
 Registrations for conferences,                                      Allowed
 seminars or technical courses
 Subscriptions and memberships                                        Allowed
 Other misc. small dollar purchases                                   Allowed

**This list is not intended to be all-inclusive. If you have a question regarding the allowability of a
purchase, please contact Accounts Payable prior to making the WellsOne charge.




                                                         3
DECLINED CARD
In the event a particular supplier or vendor denies your card, you can access the decline information online by
logging into the WellsOne program and clicking on the Declines Tab.
    • Cards may be denied based on Merchant Category Codes (MCC). Ex: Casinos
    • Cards may also be denied when the per-transaction or monthly credit limit has been exceeded.
You may also protest directly to Wells Fargo Bank Customer Service at 800-932-0036. Wells Fargo Bank Customer
Service will assist in determining the cause of card denial.

MISUSE OF CARD, POOR RECORD KEEPING, ONLINE RECONCILIATION AND APPROVAL
A cardholder is the only person authorized to make purchases with his or her card and such purchases must be in
connection with employment with, for the benefit of, and authorized by the University of St. Thomas. The
following conditions constitute misuse of the card:
• Using the card for personal purchases
• Purchase of unauthorized materials or services
• Use of the card by someone other than the card holder
• Fraudulent or inaccurate record keeping
• Continuous delinquency in documenting business purpose or submitting receipts and records
• Failure to complete online reconciliation, review, or approvals.

DISCIPLINARY PROCEDURE FOR MISUSE OF CARD OR POOR RECORD KEEPING
Cardholders will be notified via email for any misuse or poor recordkeeping.
   a) 1st month – email sent to cardholder
   b) 2nd month – email sent to cardholder and approver
   c) 3rd month – email sent to cardholder, approver, and (a) for faculty, their Dean and Joe Kreitzer of Academic
       Affairs, and (b) for staff, their Department Chair and Associate VP or VP as appropriate. The email will
       include a date in which all paperwork must be turned in or items resolved.
   d) Card suspended if paperwork or issues remain unresolved as of date noted under (c) above.
       Misuse may also result in disciplinary action, including but not limited to
                • Suspension of employee reimbursements until all records are turned in,
                • Reimbursement to the university for items without receipts,
                • Unsubstantiated expenses and sales tax paid will be treated as taxable income to the employee.
                • Permanent revocation of the privilege to use a card in the future, or
                • Notification to Human Resources if unresolved after 180 days.

    e) Once the card is suspended, AAL approval will be required to reactivate the card. Cardholder will be put on
       a probation period of one year and they must be in full compliance pending permanent revocation of their
       card. Revoked WellsOne Commercial Cards will not be reinstated.

Approvers will be notified via email of their approver obligations.
   a) 1st month - a Manual Approval Form will be sent to the approver with copies of the cardholder statements
      for which they are responsible and will require manual approval.
   b) 2nd month – email sent to approver and their supervisor, along with the Manual Approval Form and copies
      of the cardholder statements.
   c) 3rd month – email to approver, their supervisor and Department Chair and Associate VP or VP requesting
      appropriate action or reassignment.




                                                        4
                                                RECONCILIATION PROCESS
        ON LINE WELLS FARGO PROCESS
        Monthly online reconciliations and approvals are required and essential to ensure the success of this program.
        Standard reimbursement policies require documentation of the business purposes of the purchases as well as
        retention of original itemized receipts.

        The automatic billing cycle ends the last day of each month. And subsequent emails follow to the cardholder and
        approver.
                                    Cycle End Date                  On Line Statement Available
                                    Sunday                          Tuesday
                                    Monday                          Tuesday
                                    Tuesday                         Wednesday
                                    Wednesday                       Thursday
                                    Thursday                        Friday
                                    Saturday                        Tuesday

Type of Email Message                     Action
Reminder—1st day after statement          Cardholder receives message that statement is ready to review and submit. Cardholder
cycle                                     has eight days to complete reconciliation.
Grace—4 days after reminder               Cardholder and Approver receives an email reminder that cardholder has not reviewed
                                          the statement
Cleanup---6 days after grace              Approver receives message that cardholder has not reviewed the statement. NOTE:
                                          Only approver has access to the statement to submit.

Download—4 days after cleanup             Statements in view only mode. UST download into G/L on or around the 20th of the
                                          month following the statement date.

            1.      Cardholders sign onto Wells Fargo and receive a listing of all transactions posted against their card
                    during the previous billing cycle. Cardholders are responsible for several reconciling steps:
                    a. For each expenditure, the cardholder must document the business purpose of the purchase. The
                        business purpose should be detailed and answer who, what, when, where and why. (ex:
                        Subscriptions—Jane Doe—10/1/04-4/1/05), etc.
                    b. The cardholder should review the index and account code to which the expenditure is being
                        charged.
                    c. The cardholder must match all receipts and packing slips, regardless of dollar value to the monthly
                        statement. Record keeping is required to comply with university and IRS guidelines for
                        expenditures.
                    d. Once the cardholder reconciles all expenditures, the statement should be approved online.
                    e. Cardholders must print out their monthly statement and attach original matched receipts. Original
                        receipts are preferred but the following are acceptable.
                              i. Internet orders – confirmation or receipt page detailing product ordered, pricing, freight,
                                 etc.
                             ii. Phone orders – faxed copy of a receipt or invoice copy received with goods detailing
                                 product ordered, pricing, freight, etc.
                            iii. Subscription renewals – renewal form showing the cost of the subscription.

            2.      Supervisors sign onto Wells Fargo and review all expenditures for appropriate business purposes as well
                    as the index and account code being charged. If the Supervisor agrees with all the charges, the
                    statement should be approved online. If the Supervisor does not agree with a transaction they should
                    notify the Accounts Payable Manager to work through the appropriate next steps.

            3.      Statements accompanied by all original detailed receipts must be forwarded to Accounts Payable
                    (AQU204) by the 15th of the month following the statement date. Forms will be retained in Accounts
                    Payable in compliance to state and federal rules and guidelines governing record retention.


                                                                 5
                                                  PAYMENT
The university Accounts Payable Office makes a single payment each month for the complete WellsOne
Commercial Card Program billing on behalf of UST. Cardholders are not required to use personal funds or to
request funds through the Employee Reimbursement Program to make direct payments to Wells Fargo.

Cards issued under the WellsOne Commercial Card Program are individually issued to cardholders; however, use of
the card or payment by the university does not affect the cardholder’s personal credit rating.


                               GENERAL CARDHOLDER INFORMATION
PROGRAM ADMINISTRATOR CONTACT INFORMATION
Program Administrator contact information:
Edie Dull     651-962-6382              endull@stthomas.edu
Jim Johnson   651-962-6378              jwjohnson1@stthomas.edu

FOREIGN TRAVEL
When traveling outside of the United States, it is the Cardholder’s responsibility to contact Wells Fargo Customer
Service @ 1-800-932-0036 and inform them of the travel dates and countries in which they will be traveling.

                                   CARDHOLDER MAINTENANCE
E-mail notification to accountspay@stthomas.edu is required for the following actions to take place:
   • Cancel a WellsOne Commercial Card
   • Change the name on the card (i.e. marriage status)
   • Change the Banner default index
   • Profile
   • Department
   • Other

                                 TRANSACTION DISPUTE RESOLUTION
All discrepancies should be addressed immediately. Depending on the type of discrepancy you will need to contact
the merchant, Wells Fargo Customer Service or the Program Administrator.
     1.      The cardholder is responsible for contacting the merchant involved to resolve the error. If the
             merchant agrees that an error has been made, the merchant will credit the account on the following
             statement. Cardholders are advised to keep detailed notes including dates, times, name of person
             contacted, etc.

    2.      Transactions may be placed in dispute when charges appear on the statement that the cardholder did
            not make or resolution cannot be obtained through the merchant first. If the statement has not been
            reconciled, the cardholder should click on the dispute button next to the transaction. If the
            reconciliation has already been completed, the cardholder should fill out a Dispute Form and fax it to
            Wells Fargo indicating the issue. (i.e., if the amount of the charge is incorrect; there is a quality or
            service issue with the purchase; etc.)

    3.      Cardholders are required to initiate the dispute process within 60 days of the transaction date in order
            to protect your rights. Failure to notify the financial carrier of a disputed charge on an account within
            60 days will prevent the university from reversing the charges on the account. Cardholders may be held
            personally responsible for failure to comply with this component. Wells Fargo will resolve disputed
            transactions within 90 days.




                                                          6
LOST OR STOLEN WELLSONE CARDS
Cardholders are responsible for the safety and security of WellsOne Commercial Cards issued to them. For lost or
stolen cards:
              a. Notify Wells Fargo immediately at 800-932-0036.
              b. Notify the Program Administrator at 651-962-6382.
              c. If applicable, notify Public Safety and Security and the appropriate local authorities.
         Failure to report a lost or stolen card in a timely manner may result in UST be fully responsible for the
         transactions that posted to your card between the time the card was lost or stolen and the time the card was
         reported as such.




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