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STATEOFLOUISIANA

CORPORATELIABILITY“LaCARTE”PURCHASINGCARDPOLICY

July2,2014

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STATEOFLOUISIANACORPORATE

LIABILITY“LaCARTE”PURCHASINGCARDANDCBAPOLICY

1. PROGRAMA. POLICYSTATEMENT

Thispolicycovers“LaCarte,”theStateofLouisiana’sCorporateLiabilityP‐CardProgramandestablishesminimumstandardsforpossessionanduse.TheP‐Cardisatoolusedtoassistinthemanagementofpurchasing,paymentandaccounting.TheP‐CardisaVisacardissuedbyBankofAmerica(BOA)fortheStateofLouisiana.Thiscardwillenableemployeestopurchaseitemswiththeconvenienceofacreditcard,whileprovidingmanagementwithameansofmaintainingcontroloverthosepurchases.Theuseofthiscardwillimproveefficiencyandeffectivenessbyreducingcostsassociatedwithprocessingpurchasesandpaymentsandwillallowforthereceiptofgoodsonatimelybasis.

Anagencymayallowasinglepurchaselimit(SPL),agency‐wideoronanindividualcardbasis,upto$5,000withoutpriorapprovalfromtheOfficeofStatePurchasingandTravel.Inaddition,thecardcyclelimitmaybedeterminedbytheagency.Limitssetbytheagencyshouldreflectindividual’spurchasingpattern.UsingtheP‐Cardforpurchasesofsupplies,equipment,operatingservicesand/ormajorrepairsmustcomplywithproperpurchasingprocedures,rulesandregulations,LouisianaStatutesandExecutiveOrders.

Itistheresponsibilityoftheagenciestosetindividualcardholder’ssinglepurchaselimits.TheOfficeofStatePurchasingandTravelmustapproveinwritinganyauthorityforaSPLoronetimeoverridetobeabove$5,000.Requestswillbeconsiderediftheagencyisincompliancewiththeprogram,withthestateguidelines,adequatestaffexperienceandtrainingaredemonstratedwithfactorsthatpromotetheoveralluseoftheprogramandiftheapprovalbyStatePurchasingandTravelisdeterminedtobeinthebestinterestofthestate.

MultiplepurchasesmaybemadewiththeP‐Cardforcontractpurchases,eachday,uptobutnotexceeding$5,000percontract.Agencymusthaveaninternalpolicytoensurethatpurchasesfromcontractvendorsareforeachcontract’sspecificapprovedcontractitems.

Also,purchasesshouldneverbeartificiallydividedtoavoidtheP‐Cardpolicylimits.

Section6ofthecurrentSmallPurchaseExecutiveOrderreads“Inabsenceofagoodfaithbusinessbasis,nopurchaseorprocurementshallbeartificiallydividedwithinacostcenteroritsequivalent,toavoidthecompetitiveprocessorthesolicitationofcompetitivesealedbids”.

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ThispolicyandtherelatedproceduresalongwiththeuseoftheP‐CardprogramdonotnegateanycurrentPurchasingPolicies,RulesandRegulations,LouisianaStatutes,ExecutiveOrders,StateLiabilityTravelCardandCBAPolicyand/orPPM49,ifapproved,asallmustbefollowedwhenusingandadministeringtheP‐Cardandthispolicy.

B. CONDITIONSOFPARTICIPATIONAllagencies/publicpostsecondary,asaconditionofparticipationintheStateCorporateLiabilityP‐Card/CBAProgramshall,abidebythetermsofthispolicyunlessa“RequestforException”formissubmittedandapprovedbytheOfficeofStatePurchasingandTravel.Allprogramparticipants,i.e.programadministrators,cardholder,CBAadministratorsandcardholderapproversarerequiredtocompleteanonlinecertificationclass,annually,receivingapassinggradeofatleast90inordertoreceiveanewp‐card,arenewalp‐card,remainasCBAadministratororremainasacardholderapprover.Thesecertificationswillbedevelopedandupdated,asnecessary,bytheOfficeofStatePurchasingandTravelandtheagencywillbenotifiedassoonastheyareapproved.Allprogramparticipantswillbegivenampletimetoobtainthiscertificationoncenotified.Note:ThecertificationclassfortheCBAadministratorwouldbethesameasacardholder’scertification.Acardholder’sapprovermustbeasupervisorofthecardholderwhichwouldbeatleastonelevelhigherthanthecardholder.Theapprovermustbethemostlogicalsupervisorwhichwouldbemostfamiliarwiththebusinesscaseandappropriatebusinessneedsforthecardholder’stransactions.Toallowforproperandcompleteprogramaudits,allprogramparticipants,includingpublicpostsecondary,willbemandatedtoimplementWORKSWorkflow,whichisanonlinesystemthroughBankofAmerica.Thesystemcaptures transactions; Workflow requires both cardholders and cardholder approver’s electronic signatures, along with the ability to maintain receipts and backup supporting documentation in one central location through the scanning feature which is also being mandated, therefore, assisting with audits and reviews. The system allows for an additional level of approvals, beyond the cardholder and approver. Another function of Workflow allows accounting information to be coded by the cardholder for each transaction. The accounting function is mandated for ISIS/LaGov interfaced agencies which would ultimately be interfaced to the ISIS and LaGov systems. For all other agencies/post secondary/board/commissions, which are not ISIS/LaGov, interfaced agencies, although it is still mandated for the agency to utilize Workflow including scanning capabilities, the agency will not be required to interface with any accounting system. Agency program participation requires annual review of the agency’s program conducted by the agency’s internal audit section. All receipt and supporting documentation must be scanned and tied to the applicable transaction and not as one image for all transactions. During implementation and continuation of users into Workflow, ensure that every cardholder’s business email address matches the cardholder’s name. Another cardholder’s

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email address may not be used without prior approval from the Commissioner of Administration. This is done for security reasons and to protect all cardholders. Monthly reviews and inquiries, requested from the Office of State Travel, Division of Administration auditors, etc, to agency program administrators, must be answered in the time specified in the request. At this point, for monthly reviews, only justification is required for each transaction, along with program administrator and agency verification and determination that the transaction was for a business purpose and was in compliance with all state and agency card program policies, purchasing rules and regulations, statutes, executive orders and PPM49.Allcardholders,programadministrators,CBAAdministratorsandcardholderapproversmustsignthemostcurrent(SeeAttachmentB)StateofLouisianaCorporateLiabilityP‐CardProgramAgreementFormfortheapplicableprogramroleonanannualbasis.Agreementsacknowledgeandoutlinetheapplicableresponsibilitiesundertheprogram.NoP‐cardshallbeissuedtoanyagencyprogramadministrators,departmenthead,CBAadministratororauditororanyotherrolesassociatedwithadministering,monitoringorreviewingtheactivitiesoftheP‐Cardprogram,noemployee,fortravelallowances,whosestate’sindividualliabilitytravelcardaccounthasbeenrevokedduetocharge‐offsand/ornon‐payment,aswellasanynon‐stateemployees.IfitisjustifiablehardshipforoneoftheabovepositionstonotbeallowedtopossessaP‐card,awrittenrequestmustbesubmittedtotheCommissionerofAdministrationincludingdetailedjustificationastowhythisisnotfeasibleandwhatprecautionswillbetakentoguaranteethesecurityandvalidityofpurchases.SpecificapprovalfromtheCommissionerofAdministrationmustbeobtainedpriortoissuingacardtoanindividualservinginanyoftheseroles.Theonlyexceptionregardinganemployeepossessingacardwitharoleintheprogramisacardholderapprover.However,inorderforacardholderapprovertopossessap‐card,monthlyaudit,sign‐offinWorkflowsystem(onceimplementedintoWorkflow),andallotherresponsibilitieslistedthroughoutthispolicyforacardholderapprover,musttoobefulfilledbysomeonewhichisatleastonelevelhigherthantheapprover.Alltransactionsandsupportingdocumentationmustbe,ataminimum,randomlyaudited,byasecondparty;eithertheagency’sfiscalsectionortheagencyprogramadministrator.ItisstronglyurgedthatagenciesestablishcontrolsforpreandpostapprovalofitemspurchasedontheP‐card.Additionaldocumentationsteps,thatarestronglyrecommended,whichwouldstrengthencontrolsinthereviewprocessinclude:

Documentingthereasonforthepurchase(casenumber,project,etc.)onthereceiptalongwithsignaturefromcardholderandsupervisor.

Inventorytypepurchases(electronic,etc.)shouldhave“receivedby”andasignatureonpackingsliporothershippingdocumentationtoensurethatthepurchasearrivedandisaccountedforattheagency.

Anyrecognizedorsuspectedmisuseofthep‐cardprogramshouldbeimmediatelyreportedtotheagencyprogramadministratorandmaybeanonymously,reportedtotheStateofLouisianaInspectorGeneral’sFraudandAbuseHotlineat1‐866‐801‐2549orfor

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additionalinformationonemayvisithttp://oig.louisiana.gov/index.cfm?md=pagebuilder&tmp=home&nid=3&pnid=0&pid=4&catid=0.Intheeventthatanagency/publicpostsecondaryentityfailstocomplywiththerequirementsforparticipationintheP‐cardProgram,theresultofnoncompliancemayberemovalfromtheP‐Card/CBAProgram.

2. DEFINITIONSAccountholder/Cardholder‐terminologyusedtoreferencetheemployeethathasbeenissuedaP‐Card.AgreementForm–Aformsignedbyaprogramadministrator,cardholderandcardholderapprover,annually,thatacknowledgestheyhavereceivedrequiredtrainingfromagency,completedthestate’scertificationrequirementandreceivedapassingscoreofatleast90,understandstheP‐CardPolicies,bothstateandagencyandacceptsresponsibilityforcompliancewithallpoliciesandprocedures.CardholderEnrollmentForm–AformthatinitiatestheP‐Cardissuanceprocessforthecardholder.ControlledBilledAccount(CBA)–acreditaccountissuedinanagency’sname(noplasticcardsissued).TheseaccountsaredirectliabilitiesoftheStateandarepaidbyeachagency.CBAAccountsarecontrolledthroughanauthorizedadministrator(s)toprovidemeanstopurchaseanyallowedtransactions/servicesallowedinthecurrentStateLiabilityTravelCardandCBAPolicy.PleaserealizethatalthoughothertravelrelatedchargesarenowallowedontheCBAaccount,thetravelershouldbeawarethatthereisnoplasticissuedforaCBAtoensurethatthiswillnotimpairhistravelplans.Cycle‐theperiodoftimebetweenbillings.Forexample,theStateofLouisianaP‐Cardclosingperiodendsatmidnightthe5thofeachmonth.Synonymouswith“billingcycle”CycleLimit–maximumspending(dollar)limitaP‐Card/CBAisauthorizedtochargeinacycle.Theselimitsshouldreflecttheindividual’spurchasingpatterns.Thesearepreventativecontrolsand,assuch,shouldbeusedjudiciously.DisputedItem–Anytransactionthatwasdoublecharged;chargedaninaccurateamount,orchargedwithoutcorrespondinggoodsorservicesbytheindividualcardholder.ElectronicFundsTransfer(EFT)–anelectronicexchangeortransferofmoneyfromoneaccounttoanother,eitherwithinthesamefinancialinstitutionoracrossmultipleinstitutions.ElectronicSignature–Anelectronicsound,symbolorprocessattachedtoorlogicallyassociatedwitharecordorexecutedoradoptedbyapersonwiththeintenttosigntherecord.

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Fraud–Anytransaction,intentionallymadethatwasnotauthorizedbythecardholderornotforOfficialStateBusiness.

IncidentalExpense–iftravelexpenseshavebeenapprovedbytheOfficeofStateTravel,thesewouldbetheexpenses,incurredwhiletravelingonofficialstatebusiness,whicharenotallowedonthestateliabilityP‐Card.Incidentalsinclude,butarenotlimitedtomeals;feesandtipstoporters,baggagecarriers,bellhops,hotelmaids;transportationbetweenplacesoflodging/airportsuchastaxi;phonecallsandanyotherexpensenotallowedintheStateLiabilityTravelCardandCBAPolicy.INTELLILINK–Visa’s web-base auditing tool which is used to assist with monitoring and managing the agency’s card program usage to ensure that card use conforms to all policies and procedures.ISIS–StateofLouisiana’sintegratedsystemusedforaccounting,financing,purchasing,andcontractingfunctions.LaGov–StateofLouisiana’snewestintegratedsystemusedforaccounting,financing,logistics,humanresources,travelanddatawarehousestorageandreporting.MerchantCategoryCode(MCC)–standardcodethecreditcardindustryusestocategorizemerchantsbasedonthetypeofgoodsorservicesprovidedbythemerchant.AmerchantisassignedaMCCCodebytheacquiringbank.

MerchantCategoryCodeGroup(MCCG)–adefinedgroupofmerchantcategorycodes.MCCGsareusedtocontrolwhetherornotcardholderscanmakepurchasesfromparticulartypesofmerchants.Merchant–abusinessorotherorganizationthatmayprovidegoodsorservicestoacustomer.Synonymouswith“supplier”or“vendor”.PolicyandProcedureMemorandum49(PPM49)–thestate’sgeneraltravelregulations.Theseregulationsapplytoallstatedepartments,boardsandcommissionscreatedbythelegislatureorexecutiveorderandoperatingfromfundsappropriated,dedicated,orselfsustaining;federalfunds,orfundsgeneratedfromanyothersource.http://www.doa.louisiana.gov/osp/travel/travelpolicy.htm

SinglePurchaseLimit(SPL)‐themaximumspending(dollar)limitaP‐Cardisauthorizedtochargeinasingletransaction.TheSPLlimitmaybeupto$5,000;however,thislimitshouldreflecttheindividual’spurchasingpatterns.Thesearepreventativecontrolsand,assuch,shouldbeusedjudiciously.PurchasesshallnotbesplitwiththeintentofandforthepurposeofevadingtheP‐Cardsinglepurchaselimitsetforcardholders.P‐Card‐acreditaccountissuedinanemployee’sname.ThisaccountisthedirectliabilityoftheStateandispaidbyeachagency.P‐Cardaccountsarethepreferredmeansofpaymentforpurchasesofgoodsandservices.AlsoreferredtoastheLaCartecardandPurchasingCard.

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P‐Card/BillingCyclePurchaseLog–Paperandelectronic,oncetheagencyhascompletedtheimplementationofWorkflow,thislogisusedinthereconciliationprocessforpurchases/serviceschargedduringthebillingcycle.Thelogisusedtodocumentcardholderapprovalofpurchasesbilledbymatchingthepaperbillingstatement,receivedfromthebank,tothelogandthedocumentationobtainedfromthevendor(s).Approvalofthelogbythecardholdercaneitherbebysignature(paperlog)orelectronicsignoff(throughWORKSWorkflowreconciliation).Likewise,thedesignatedapprover(supervisorofcardholderwhichisatleastonelevelhigherthancardholder)caneitherbebysignature(paper)orelectronicsignoff(onlineinWORKSWorkflow).Transaction‐asinglepurchase.Acreditalsoconstitutesatransaction.TransactionDocumentation–alldocumentspertainingtoatransaction,bothpaperandelectronic.Thedocumentationisalsousedforreconciliationattheendofthebillingcycleandistoberetainedwiththemonthlyreconciliationdocumentationforreviewandauditpurposes.Examplesoftransactiondocumentationinclude,butarenotlimitedto:itemizedpurchasereceipts/invoices(withcompleteitemdescriptions,notgenericsuchas“generalmerchandise),receivingdocuments,credits,disputes,andwrittenapprovals.Iftravelhasbeenapproved,documentationshouldalsocontainairlineexceptions,justifications,approvals,travelauthorization,travelexpense,etc.WORKS–BankofAmerica’sweb‐basedsystemusedforprogrammaintenance,card/CBAissuing/suspension/cancellationandreporting. WORKS Workflow – Bank of America’s online system that includes user profiles and transaction workflow. For ISIS and LaGov interfaced agencies, transactions are coded and interfaced to the ISIS/LaGov systems for payment monthly.

3. STATECORPORATELIABILITYP‐CARDADMINISTRATIONRESPONSIBILITIES

A. OFFICEOFSTATEPURCHASINGANDTRAVELRESPONSIBILITIESTheStateofLouisiana,OfficeofStatePurchasingandTravelisresponsibleforthestatewidecontractadministrationoftheCorporateLiability“LaCarte”PurchasingCard/CBAProgram.TheStateProgramAdministratorwillserveasacentralpointofcontacttoaddressallissuesandchangesnecessarytotheoverallprogram,andcoordinatesuchchangeswiththecontractor,BankofAmerica.TheOfficeofStatePurchasingandTravelwillissueandmaintaintheState“LaCarte”PurchasingCardCBAPolicyascontainedherein.Ifthestate’spolicyortheprogramlimitsarechangedstatewide,arevisedP‐Card/CBAPolicywillbeissuedbytheOfficeofStatePurchasingandTravel.TheOfficeofStatePurchasingandTravelwillapproveagencyparticipationintheprogramandidentifytheallowableMerchantCategoryCodes(MCC)andtheirlimits,ifapplicable.

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Travelmerchants,includingfoodmerchants,areprohibitedfromindividualemployeeuseunlessarequestismadebyanagencytosupporttheuseoftravelandfoodmerchants.Therequest,alongwithstrictguidelinesoutlinedintheagencypolicyinaccordancewiththecurrentStateLiabilityTravelCardandCBAPolicyandcurrentPPM49guidelines,andthewrittenapprovalbytheOfficeofStatePurchasingandTravelisrequiredpriortoanytravelexpensebeingallowedontheP‐Card.Iftravelallowancesarerequestedforindividualemployeeuse,onlyMCCallowancesoutlinedintheStateLiabilityTravelCardandCBAPolicywillbeallowed.CBAaccountsmaynowbeopenedtoallowallMCCCodes/GroupsoutlinedinthecurrentStateLiabilityTravelCardandCBAPolicy.Proceduresmustbedevelopedbytheagencyandincludedinpoliciesregardingtravelpurchases.PleaserealizethatalthoughothertravelrelatedchargesarenowallowedontheCBAaccount,thetravelershouldbeawarethatthereisnoplasticissuedforaCBAtoensurethatthiswillnotimpairhistravelplans.TheonlytravelexclusionwhichdoesnotrequireStatePurchasingandTravelapprovalisrentalcarallowances.Attheagency’sdiscretion,cardholdersareallowedtousetheirP‐Cardforin‐staterentalsatEnterpriseRentACar(MCCCode3405),andforout‐of‐staterentalsatEnterpriseRentACar(MCCCode3405),NationalCarRental(MCCCode3393)andHertzCarRental(MCCCode3357).

Anywaivertothispolicywillbeconsideredonacase‐by‐casebasisandshouldbeinwritingontheexemptionrequestformandforwardedtotheOfficeofStateTravelforapproval.Thisprogramdoesnotallowcashwithdrawals/transactionsoranyattemptsforcashtransactions,ascashisblockedfromthisprogram.

B. AGENCY/PUBLICPOSTSECONDARYRESPONSIBILITIES

AgencyresponsibilitiesincludeadministrationofitsCorporateLiabilityP‐Card/CBAprograms,andcompliancewithstateguidelinesidentifiedherein,anycurrentPurchasingPolicies,RulesandRegulations,LouisianaStatutes,ExecutiveOrdersand/orcurrentStateLiabilityTravelCardPolicyandPPM49,ifapplicable.TheDepartmentHeadwillberesponsiblefordesignatingAgencyP‐Card/CBAProgramAdministratorsandforimmediatelynotifyingtheStateProgramAdministratorattheOfficeofStatePurchasingandTravelofanychanges.AgenciesareresponsiblefordevelopingpoliciesdocumentingallinternalproceduresandensuringthattheyareinaccordancewiththeguidelinesoftheCorporateLiabilityP‐Card/CBAPolicyincludingadefinitionofsplitpurchasingalongwithastatementthatasinglepurchaseshallnotbeartificiallydividedtoavoidtheSPLorprocurementprocedures.Policiesshouldbeupdatedasnecessarywithchanges/additionswhichmayoccurintheAgency’sinternalproceduresand/orState’sCorporate“LaCarte”PurchasingCardPolicyincludingupdatingofMCCCodes,asnecessary,whenprovidedbytheOfficeofStatePurchasingandTravelandBankofAmerica.

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TheAgencyProgramAdministrator(s)willberesponsibleforkeepingwellinformedofprogramupdates,astheyaresentasemailupdates,alongwithdisseminationofthisinformationtotheDepartmentHead,cardholders,CBAadministrator,cardholderapproverandanyotheragencypersonnelasdeemedappropriate.AgenciesareresponsibleforperformingpostauditsofcardholdertransactionstomonitorappropriateusewhileverifyingthatpurchasesaremadeinaccordancewithCorporateLiability“LaCarte”PurchasingandCBACardPolicy,allcurrentpurchasingpolicies,purchasingrulesandregulations,LouisianaStatutes,ExecutiveOrders,StateLiabilityTravelCardandCBAPolicyandPPM49,ifapplicable.Thebankwillprovidereportingcapabilitiesatnocosttoeachagency.RememberalltransactionsMUSThaveareceipt,bothpaperandelectronic,oncetheagencyhascompletedtheimplementationofWorkflow.Electroniccopiesmustbeunalterableandreadilyavailabletoauditorswhenrequested.Theagencyisresponsibleforsecuringandarchivingtransactiondataasrequiredbythebusinessoperationsoftheagency.IfusingWORKSWorkflow,dataisavailableelectronicallyforupto3years.IfusingIntellilink,dataisonlyavailablefora27monthrotatingperiod.Ifanagencyrequiresdocumentationretentionmorethanstatedabove,itistheresponsibilityoftheagencytoobtainandarchivethetransactiondataannually.

Monthly certifications that the procedures of audit section of this policy have been conducted must be submitted to the Office of State Travel. The certification will indicate that agency personnel administering the P-card Program has generated the required reports, all requirements listed in policy have been completed, and necessary findings have been investigated, documented and handled appropriately.

Inadditiontoestablishingpropercontrolsandagency’sprocedures,agenciesareresponsiblefor:1. Determiningappropriatecardholdersandsettingindividualcardholderlimitsfor

singletransactions,dailyand/orcycletransactionlimits.Whilewerecognizecertainbusinesstransactionsrequirehigherlimitsexceeding$5,000andmaybegrantedbysubmittinga“RequestforExceptionForm”totheOfficeofStatePurchasingandTravelforapproval,agenciesarecautionedwhenincreasingSPLthatbestpracticecallsfortheSPLtobelimitedtothelowestnecessarySPLthatisneededforthedutiesofthatindividual.The“RequestforExemptionForm”wouldalsobeapplicabletoopenanyMCCCodeswhichareclassifiedaseither“P”forprohibitedor“R”forrestricted.Itisalsobestpracticetoissueonlyonecardpercardholder.

2. MonitoringforcardholderaccountswhicharenotactiveandadjustingSPL’sand/ormonthlycyclelimitsaccordinglybasedonpossiblechangeinneedsandcancellationofcard,whennotutilizedinatwelvemonthperiod.Acardmayonlyremainactive,ifdormantfora12monthperiod,byjustificationandapprovalfromtheOfficeofStateTravel.Ifapprovalisgranted,thecardmustbesuspendedandprofilechangedto$1limituntilfutureneedforactivation.Anexampleoftheneedforacardthatmaybedormantfor12‐monthsisthatthecardisbeingmaintainedonlyforemergencysituations.

3. Developmentofapurchasingcardlogusedtoassistinreconciliationprocess.

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4. DevelopingproceduresfortravelallowancesinaccordancewithStateLiabilityTravelCardandCBAPolicy,ifrequestedbytheagencyandapprovedbytheOfficeofStatePurchasingandTravel.

5. DeterminingallowablemerchantcategorycodesbasedonindividualneedsandtheState’sallowances.

6. Educatingprogramparticipantsonstateandagencypolicyrequirements,proceduresandallowances.

7. Educatingprogramparticipantsonuseofthecardsalestaxrequirements.8. Maintainingbudgetarycontrols.9. Establishingprocedures, aspartof exit paperwork, to collect and cancel cardsupon

terminationoftheemployee.Exitproceduresincludeareviewbythecardholderandsupervisor and/or program administrator of all current charges on the account,verifying that all necessary supporting documents, receipts and required signatureshavebeenobtained.Cardsshouldbereturnedtotheagencyprogramadministratortocancelanddestroy.

10. Educatingcardholdersonprocessofreportingacardlost,stolenand/oranyfraudulentactivity.

11. Requestingcards,usersinWORKSandperforminganymaintenancenecessaryforagencycardholders.IssuingsecureUserID’sforeachcardholder,approver,CBAadministrator,accountant,auditorsandagencyprogramadministratorinallWORKSapplicationsiftheonlinesystemisimplemented.

12. Agencypolicymustspecificallyaddresshowanemployee’sabsenceduringapprovalprocessoftransactionswillbehandled,especiallyonceagencyhasimplementedtheWORKSWorkflowsystem.

13. Monitoringtheissuanceofcards,ensuringpromptreconciliationofperiodicstatements.

14. EstablishingproceduresforreducingP‐Cardcardholdersto$1limitsorsuspendingthecardduringanextendedabsenceand/oruntilthecardholderreturns.Thiswillbedonetoprotectthecardholderandtheagencyduringtheirabsence.

15. Establishingandenforcingpersonnelpoliciestodisciplineemployeesintheeventofabuseorfailuretocomplywithestablishedguidelines.Ensurethattheconsequences,outlinedintheagency’spolicyareexecutedandallprogramparticipantsareawareoftheconsequencesofcertainactionsinvolvingtheP‐cardProgram.

16. DevelopingprocedurestocoverbothP‐CardandT‐Card,ifapproved,forrecoveringunauthorizedchargesand/oroverageofallowancesasdefinedinPPM49.Ifabuse,whetheraccidentalforP‐CardandT‐Cardsuchastravelincidentals,occursmorethantwice,cancellationisstronglyencouraged.

17. Developingproceduresforstate,city,parishtaxreimbursementforunauthorizedtaxexemptpurchases,includingtravelifapprovalisrequestedandgranted.AlsoSeeStateLiabilityTravelCardandCBAPolicy.

18. Maintaininglistofallagencycardholder’snames.19. EstablishingagencyCorporateBusinessAccounts(CBA’s)anddeterminingproper

administrators/approvers.ThecontracttravelagencymustbenotifiedofauthorizersforeachCBAaccount.

20. Annually,thedepartmenthead,alongwithallcardholderapproversshallreviewcardholders,cardholderlimitsandensureappropriateutilization.Afileshallbemaintainedshowingcompliancewiththisrequirement.

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21. Developproceduresforonlineaccounts,suchasAmazon,PayPal,EBay,etc.Thesetypesofaccounts,ifnecessaryandallowedforusebyanemployee,musthaveastandalonebusinessaccountorregistrationandmustnotbecombinedwithanindividual’spersonalaccount.Bydoingthis,itallowstheagencyaccesstoviewtheaccountsonlinewhileverifyingthatallpurchaseswerebusinessrelated,emailreceiptswerenotalteredandthatallpurchasesarebeingdelivereddirectlytotheagency.

22. ISISAccountingInterfaceAgencies:Establishandassigndefault/overrideaccountingcodesfortransactionsnototherwisecoded through the electronic online WORKS Workflow. There will be a defaultaccounting code for each appropriated program that will consist of thefund/agency/organization/objectcombination.CodingwillbeassignedeitherthroughonlineallocationorthroughtheapplicationofoverridecodesduringexportfromBOAto ISIS. Default/override codes are assigned by Office of State Reporting andAccounting Policy (OSRAP) and are included in the export programming when noallocationcodingisapplied.TheAgencywillberesponsiblefornotifyingOSRAPofallinstancesthatwillrequireachange in the agency’s structure. The Agency will be responsible for updating userrestrictionswithinitsinstancewhenusingtheWORKSWorkflow.Ensuringaclearing(PPPP)oroverrideorganizationcodeissetupforeachcorporateaccount (ISISAgency) formiscellaneous chargesand for cardholder transactions thathaveanincorrectormissing)code.ISIS Agencies will be responsible for reconciling cardholder statement (paper orelectronic) to electronic payment (P3 P‐Card Vendor Payment Voucher Input Form)and distributing costs from the default/override accounting codes to the properaccountingcodes.ISISAgenciesmustnotifyOSRAPimmediatelyofanydiscrepancies.

23. NON‐ISISAccountingInterface:Agencieswillassigncodesspecifictotheiraccountingsystem.Theseassignedaccountnumberswilltrackpurchasesasdeemednecessary.

24. Non‐InterfaceAgencies:For any agencynot receiving an interface into their accounting system, itwill be theagency’sresponsibilitytoensurethatthereconciliationiscompletedandpaymentsarepaid in full, timely eachmonth,withONE electronic funds transfer (EFT) to Bank ofAmerica.

25. LaGOVAgencies:Establish and assign default accounting codes for each cardholder in WORKS. TheAgencywill be responsible formaintaining theAccountingCode and the cardholderdefaultswhenthereisachangeintheagency’sstructure.WORKSwill be set to validate accounting codes.When there is a timing issue thatresultsinatransactionbeinginterfacedwithanaccountingcodethatisnolongervalidinLaGov,thetransactionwillposttoadefaultfund/costcenter.

C. Supervisor/ApproverResponsibilities

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1. ObtainannualapprovercertificationthroughtheState’sonlinecertificationtrainingprograminwhichapassinggradeofatleast90mustbeobtained.

2. ObtainagencyprogramtrainingandsignanApproverAgreementForm,annually,withoriginalsgiventoagencyprogramadministratoralongwithapproverreceivingacopy.

3. Obtain,reviewandunderstandthestateandagencypoliciesandallapplicablerules,regulations,policies,procedures,guidelines,statutes,executiveordersandPPM49,ifapplicable.

4. KeepwellinformedofprogramupdatesassentfromagencyprogramadministratorsoranyoneassociatedwiththeStateLiabilityP‐CardProgram.

5. Ensurethatalogiscompletedbyeachcardholder,thatthelogcorrespondswiththemonthlybillingstatementandthatthelogandstatementaresignedbybothapproverandthecardholder.

6. Always submit approvals with all necessary documentation including complete lineitem descriptions where generic description is on receipts such as “generalmerchandise”(bothpaperandelectronic)inatimelymanner.

7. Ensure that supporting documentation, including the signed log or approvedelectroniclogandsignedstatement,bybothapproverandthecardholder,alongwithany findingsand justificationsaresent to theagency’s fiscaloffice forreview,wherethedocumentationwillbemaintainedinonecentral location,inaccordancewiththestate’srequirementsandtheagency’spolicy.

8. Immediately report any fraud or misuse, whether actual, suspected or personalcharges to the agency program administrator, as well as, agency head and otherpersonnel/agencies as required. An approver will participate in any disciplinaryactionswhichmaybedeemedappropriate,ifnecessary.

9. Notify an agency program administrator, immediately, upon separation, change indepartment/sectionorduringextendedleaveforanycardholdersinwhichyouaretheapprover.

10. Complete an exit review, with the cardholder, of the cardholder’s transactions,supporting documentation and receipts, as well as, obtaining necessary signaturespriortodeparture.

11. Ensure that theP‐Card isobtained fromtheemployeeuponseparationorchange indepartment/section and return card to agency program administrator. Ensure thatagency program administrator makes necessary changes to cancel the card and toremove approver as the employee’s approver and/or employee from the list ofcardholdersforwhichapproverisresponsible.

12. Ensure that either approver or the cardholder notifies the agency programadministratorifcardislost,stolenorhasfraudulentcharges. Ensurethecardholderimmediatelynotifiesthebankaswell.

13. Review, at aminimumannually, all cardholderswhich approver is designated as anapprover alongwith profile limits to ensure appropriate utilization of the card andprogram intent. This will ensure that all cardholders limits, MCC Codes, etc., areworkingproperlyforthecardholder.Iflimitsorcodesarenotallowingthecardholdertoperformhisduties,thenapprovershouldcontacttheagencyprogramadministratortomakenecessaryadjustments.

14. Ensurethatcardholderisneverafinalapproverofhisownmonthlytransactions.15. Ensureeachtransaction,tothebestofapprover’sknowledge:

Hasanappropriatebusinesspurpose,fitsthecardholder’sbusinessneeds,andisauditedincludingareviewofallsupportingdocumentation.

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Is in compliance with all current purchasing rules and regulations, statutes,executiveorders,policiesandPPM49,ifapplicable.

Is in compliancewith the agency’s policy and the State’s Corporate Liability P‐Card/CBApolicyandStateLiabilityTravelCardandCBAPolicy,ifapplicable.

Doesnotincludestatetax,asthisprogramisstatetaxexempt. Includesall requiredandcompletedocumentation, includingadetailed receipt,

supportingthetransactionandalldocumentationisscannedintoWorkflowandtiedtotheappropriatetransactions.

Is not a duplication of personal request and/or reimbursements, if for travelrelatedexpenses.

Hasbeenverifiedtoensurethateachtransactionhasareceiptandthereceipt’sdate, supporting documentation and documentation dates, along with the logdates, correspondwith known business needs or trip allowances and dates, ifapplicableandtravelhasbeenapproved,alongwithprogramcycledates(whichbeginthe6thofonemonthandendsthe5thofthefollowingmonth).

Has been coded properly for payments as outlined in the agency policy andproceduresandasrequiredinWorkflowforISISandLaGovinterfacedagencies.

16. SecureallassignedWORKSapplicationUserIDsandpasswords.NevershareUserIDandpasswordsand/orleavetheworkareawhileloggedintothesystemorleavelog‐ininformationlyinginanunsecurearea.

17. Understandthat failure toproperly fulfill responsibilitiesasaP‐cardapprovercouldresult,ataminimum,inthefollowing:

Writtencounselingwhichwouldbeplaced inemployee file foraminimumof12months.

Consultationwithagencyprogramadministrators,andpossiblyheadofagencyandinternalauditsection.

Disciplinaryactions,uptoandincludingterminationofemployment. Legalactions,asallowedbythefullestextentofthelaw.

D. AuditReports

Attachment A contains a list of reports created for agencies to use for monthly audit requirements of this program through WORKS and Intellilink. Some reports are required to be generated and reviewed at least once a month, while others have been created and designed as added value to assist in policy compliance. Although all of the reports are not required monthly, agencies are strongly encouraged to determine which of the reports are of the most value to them and should consider rotating them, at a minimum every other month. When running these reports, it is the agency’s responsibility to not only review the data gathered, but to make certain that transactions are for a business purpose and have a legitimate business need for the cardholder. In the event that a transaction is being investigated, the cardholder must explain and justify the transaction being questioned. Based on the cardholder’s explanation, the agency should address the situation accordingly. All documentation/findings/replies, resulting from the monthly audit of P-card transactions, are to be centrally located and readily available for any internal or external audits that may occur. Most reports listed in Attachment A are available through VISA Intellilink. Intellilink’s data is available for a 27 rotating month period. If an agency

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requires documentation retention for more than 27 months, it is the responsibility of the agency to obtain and archive the transaction data accordingly. Monthly certification that the above procedures have been conducted must be submitted to the Office of State Travel. The certification will indicate that agency personnel administering the P-card program have generated the required reports, all requirements listed in the policy have been completed, and necessary findings have been investigated, documented and handled appropriately.

Inaddition,reportsshallbeusedasatooltoassisttheagencyprogramadministrator/agencywithdeterminingwhichcardholdersmayneedarefreshertrainingcourse,re‐certificationofthestate’sonlinetraining,counseling,cancellationofcard,duetoinaccuracies,etc.,aswellas,todeterminepossiblechangestocardholder’slimits,profiles,andMCCgroups.WhenWORKSWorkflowimplementationhasbeencompleted,aBillingCyclePurchaseLogreportwillbeavailableforprint.Itisanun‐editable,PDF,formattedreport.TheWORKSWorkflowsystemdataisgeneratedatthetimeofreportrequestwiththemostcurrentsignoffinformationwiththedateandtimestampoftheapprovalcapturedintheaudittrackingalongwithalldocumentationwhichhasbeenscannedtosupportP‐cardtransactionsandtiedtotheappropriatetransaction.Alwaysensurethatthecorrectcycleperiod/datesareenteredwhenprintingthelogreport.Cycledatesfortheprogrambeginonthe6thofonemonthandendsonthe5thofthefollowingmonth.OnceanagencyhasimplementedWORKSWorkflow,thereareadditionalreportsthatcanbecreatedtogivecardholderapprovers,accountants,agencyprogramadministrators,auditors,andmanagementinformationtomonitorthecomplianceoftheircardholdersandstaff.DataisavailableelectronicallywithinWORKSWorkflowforupto3years.Ifanagencyrequiresdocumentationretentionformorethan3years,itistheresponsibilityoftheagencytoobtainandarchivethetransactiondataannually.

4. POLICYREQUIREMENTS

A. STATECORPORATELIABILITYP‐CARDACCOUNTREQUIREMENTS/GUIDELINES1. AllP‐Cardtransactionsmusthaveadetailedreceipt,notagenericdescriptionsuchas

“generalmerchandise”orshouldbefullydocumentedelsewhere,(bothpaperandanun‐editableelectronicform,onceanagencyhasimplementedWorkflow)andmustbeinaccordancewithPurchasingPolicies,RulesandRegulations,LouisianaStatutesand/orExecutiveOrders,Corporate Liability “LaCarte” Purchasing Card Policy, as well as, State Liability Travel Card and CBA Policy andPPM49guidelines,ifapplicable,http://www.doa.louisiana.gov/osp/travel/travelpolicy.htm.

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2. Necessarytrainingshouldbeconductedtoensurethatallprogramparticipants,suchasprogramadministrators,cardholders,CBAadministrators,cardholderapprovers,andanyotherapplicablepersonnelthathasaroleinadministeringthisprogram,isawareofalldutiesandresponsibilitiesassociatedwithpossession/useofaStateCorporateLiabilityP‐Card.Agencyprogramadministratorsshallmaintaintheannual,originalsignedagreementformfortheStateofLouisianaCorporateLiabilityP‐CardProgramforallparticipantsoftheP‐CardProgram.Acopyofthesignedagreementalongwiththestateandagencypolicies,oralinktoallpolicies,procedures,rules,regulations,executiveordersandPPM49,ifapplicable,shallbeprovidedtotheprogramparticipant.

3. Cardholdersmustbeapprovedbyappropriateagencyauthorityanddistributedonlytofrequentpurchasers/travelers,basedontherequestofasupervisor,managerordepartmenthead,notasanautomaticprocessuponhiring.

4. Allprogramparticipantsmustattendagencytraining.Participantsmustreceivestate’sonlinecertification,achievingascoreofatleast90andsignanagreementformapplicabletotheemployee’sroleintheprogram,acknowledgingresponsibilities.Bothoftheserequirementsaredueannually.

5. AllP‐Cardsareissuedwithcorporateliability,underwhichthestateisliableforthecostofthepurchases.TheprogramisbasedonthestrengthoftheState’sfinancialresources,notthepersonalfinancesofthecardholder.

6. DuetoStateLiability,CorporateP‐CardsaretobeissuedinthenameofStateofLouisianaemployeesonly.

7. P‐Cardswillbeissuedwithduallimits,ataminimum.Theoverallcardcyclelimitdeterminedbytheagency,andaSPLlimitupto$5,000,alsodeterminedbytheagency.Theselimitsshouldreflecttheindividual’spurchasingpattern.Thesearepreventativecontrolsand,assuch,shouldbeusedjudiciously.ExceptionstotheSPLmayberequestedfromtheOfficeofStateTravelwithaP‐Cardexemptionrequestform.

8. Default/overrideaccountingcodesmustbeassignediftheagencyhascreatedaninterfacewiththeaccountingsystem.

9. StateCorporateLiabilityP‐CardisaVISACardandwillbeidentifiedwiththeStateofLouisianasealandmarkedLouisiana“LaCarte”.ThecardswillbewhiteandembossedwiththeEmployee’sname,departmentname,accountnumberandtaxexemptnumber.

10. ExpiringP‐Cardswillautomaticallybereplaced/renewedpriortotheP‐Card’sexpirationdatebytheissuingbank.Allreplacement/renewedcardswillbesenttotheagency’sprogramadministratorforproperdistributionandallcardholdersmusthavere‐certificationfromthestate’sonlinetrainingclassachievingapassingscoreof90priortoreceivingtherenewalp‐card.

B. DECLAREDEMERGENCYUSEIntheeventtheGovernordeclaresastateofemergency,theP‐CardmaybechangedtoallowhigherlimitsandopeningofcertainMCCcodesforessentialemployeeswhoarecardholdersthatwouldbeactiveduringanemergencysituationandnotforALLcardholders.AnemergencyprofilemustbecreatedinWORKSwhichshallnotexceedthefollowinglimits,withoutpriorapprovalfromOfficeofStatePurchasingandTravel:SPL(singlepurchaselimit)$25,000,TravelandRestMCCGroupsmayberemovedifdeterminedtobenecessaryforgroupaccommodationshowever,theCashMCCGroupmustremainattachedtotheprofileatalltimes,astheuseofcashisneverallowed,evenduringemergencysituations.

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HigherlimitsdoNOTeliminatetheneedtofollowemergencyprocurementrules,policies,proceduresand/orexecutiveorders.ItistheAgencyProgramAdministrator’sresponsibilitytoensurethatallcardsarereturnedtotheiroriginalprofileoncetheemergencydeclarationhasexpiredand/orwhenhigheremergencylimitsarenolongernecessary.

C. INDIVIDUALP‐CARDCARDHOLDERSSHALL:1. UseP‐Cardforofficialstatebusinessonly.Nopersonaluse.P‐Cardislimitedtothe

personwhosenameisembossedonthecard.TheP‐Cardshallnotbeusedtopayforanotherorloanedtoanotherpersontopayforofficialornon‐officialbusinessexpenses.

2. AttendrequiredagencytrainingandsignaStateCorporateLiabilityCardholderAgreementForm,annually,acknowledgingcardholder’sresponsibilitiespriortoreceivingthecard.

3. ObtainannualcardholdercertificationthroughtheState’sonlinecertificationtrainingprogramreceivingapassinggradeofatleast90priortopossessorcontinuingtopossessaStateofLouisianaP‐Card.

4. NeverincludethefullP‐Cardaccountnumberinemails,fax,reports,memos,etc.Ifanaccountnumberisnecessary,onlytheuseofthelastfouroreightdigitsoftheaccountnumberisallowed.

5. SecureassignedWORKSapplicationUserIDs.NevershareUserIDandpasswordand/orleaveworkareawhileloggedintothesystemorleavelog‐ininformationlyinginanunsecurearea.

6. RecognizethattheP‐CardisthepropertyoftheStateofLouisianaandthecardholderisresponsibleforthephysicalsecurityandcontroloftheP‐Cardanditsappropriateuse.TheCardholderisalsoresponsibleformaintainingthesecurityofcarddatasuchastheaccountnumber,theexpirationdate,andthecardverificationvalue(CVV),the3‐digitsecuritycodelocatedonthebackofthecard.

7. NeversendacopyoftheP‐Cardifrequestedbyamerchant.Ifthisisrequiredforpayment,thenthecardholdermustuseanotherformofpaymentotherthantheStateLiabilityP‐Card.

8. NeveruseanindividualP‐Cardforpersonal,non‐businessexpensesforanyreason.9. Neverpaytaxesonpurchaseswiththiscard,sinceitisastateliability.SeeSection6.10. Never,underanycircumstances,usetheP‐Cardtoaccessorattempttoaccesscash.11. NeveracceptcashinlieuofacredittotheP‐Cardaccount.12. NeveruseP‐Cardforgiftcards/giftcertificates,withoutpriorapprovalfromtheOffice

ofStatePurchasingandTravel,astheyareconsideredcashandtaxable.13. NeveruseP‐Cardstoavoidprocurementorpaymentprocedures.14. NeverusetheP‐Cardforthepurchaseofalcohol,food,travelexpensesor

entertainmentserviceswithoutobtainingpriorwrittenpermissionfromtheOfficeofStatePurchasingandTravel.Ifrequestedandapproved,alltravelexpensetransactionsmustbeinaccordancewiththecurrentStateLiabilityTravelCardandCBAPolicyandcurrentPPM49guidelines.Theonlyexceptionsarevehiclerentals.SeeSection3.A.

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15. NeveruseP‐CardforfuelorvehiclemaintenanceifagencyispartoftheFuelCardandMaintenanceProgram.However,intheeventthatthefuelprogramisnotcoveredinacertaingeographicarea,thentheP‐Cardmaybeused,anddocumentationofthetransactionshouldbemaintainedindicatingthereasonswhyafuelcardcouldnotbeused.

16. Submitallrequiredtransactiondocumentation(bothpaperandun‐editableelectronicformat,onceWorkflowhasbeenimplemented),specialapprovals,etc.,timelyandinaccordancewiththeiragency’sinternalpolicy.Remember,everytransactionmusthaveareceiptwithafulldescription,notagenericdescriptionsuchas“generalmerchandise”oritemshouldbefullydocumented/describedelsewhere(bothpaperandun‐editableelectronicformat,onceWorkflowhasbeenimplemented).FailuretodososhouldresultincancellationofP‐Card.Allpapersupportingdocumentation,includingthesignedlogorapprovedelectroniclogandsignedmemostatement,alongwithanyfindingsandjustificationsistobescannedintoWorkflowandtiedtoeachapplicabletransaction.Allmentionedabove,willbesenttothesupervisor/approverforrequiredauditandsignatures,andforwardedtotheagency’sfiscalofficeforreviewandfilemaintenance.

17. NEVER MAKE A PAYMENT DIRECTLY TO THE BANK in the event that an unauthorizedchargeisplacedontheindividual’sstatecorporateliabilityP‐Card.Makingapaymentdirectlytothebankwillcausethemonthlystatementbillingfiletobeoutofbalance,andtheagencywillhavetodeterminethecause.Ultimately,itwillbedeterminedthatapersonalpaymentwasmade.Inordertoavoidthissituation,reportanyunauthorizedchargestotheagency’sprogramadministratorimmediately,alongwithdecisiononhowthefundswillbereimbursedbacktotheagency.

18. Notifytheagency’sprogramadministratoriffraudulentchargesarenoticed,asthecardmayneedtobecancelledandanothercardissued.

19. Notifytheagency’sprogramadministratorifuseofacardhaschangedandlowerorhigherlimitsarenecessary.

20. ImmediatelyreportalostorstolencardbycallingBankofAmericaat1‐888‐449‐2273.

D. STATECORPORATEBUSINESSACCOUNT(CBA)REQUIREMENTS/GUIDELINES1. AllCBAtransactionsmustbeinaccordancewithPPM49guidelines,

http://www.doa.louisiana.gov/osp/travel/travelpolicy.htm,StateLiabilityTravelCardandCBAPolicy,http://www.doa.louisiana.gov/osp/travel/corptravcard/travcard‐cbapolicy.pdf,PurchasingPolicies,RulesandRegulations,LouisianaStatutesand/orExecutiveOrders http://www.doa.louisiana.gov/osp/osp.htm.

2. ThepurposeofaCBAistoprovideatoolforagenciestopurchaseairfare,conferenceregistrationsandassistwithpaymentofhighdollartravelexpensesonly,aspercurrentStateLiabilityTravelCardandCBAPolicy.PleaserealizethatalthoughothertravelrelatedchargesarenowallowedontheCBAaccount,thetravelershouldbeawarethatthereisnoplasticissuedforaCBAtoensurethatthiswillnotimpairhistravelplans.

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3. Theaccount(s)areissuedinthenameoftheagencyandtheagencyprogramadministratoristheprimarypointofcontactforadministeringtheaccounts.Theagencymaydesignateanadministrator/authorizerperaccount.Eachadministratorhasthesameduties,obligationsandresponsibilitiesasacardholder,asoutlinedthroughoutthispolicyspecificallysection4.C.ThecontracttravelagencymustbenotifiedofauthorizersforeachCBAaccount.

4. CBAaccount(s)shallhaveanoverallcardcyclelimitdeterminedbytheagency.Theselimitsshouldreflecttheagency’stravelpatterns.Therefore,theselimitsmustbejudiciouslyestablishedbytheagencyandadheredtoaccordingly.TheagencyProgramAdministratormayestablishaneworadditionalCBAaccountthroughBankofAmerica’son‐linesystem,WORKS.

5. TheCBAaccountsarethedirectliabilityoftheState.EachagencyisresponsibleforensuringallaccountsarepaidtimelyandinfulleachmonthwithONEelectronicfundstransfer(EFT)toBankofAmerica.

6. CBAaccountsdonotallowissuanceofaplasticcard.Thesearereferredtoasghostaccounts.IfitisdeterminedthatpersonalorotherunauthorizedchargesareoccurringontheCBAaccount,appropriatesteps,uptoandincludingdismissal,shallbetakentoresolvethemisuse/abuseoftheaccount.SeeSection5,CardMisuse.

7. ThefullCBAaccountnumbershallneverbeincludedinemails,fax,reports,memos,etc.Ifanaccountnumberisnecessary,onlytheuseofthelastfouroreightdigitsoftheaccountnumberisallowed.

5. CARDMISUSE

A. FRAUDPURCHASES‐anyuseoftheP‐Card/CBAwhichisdeterminedtobeanintentionalattempttodefraudthestateforpersonalgainorforthepersonalgainofothers.AnemployeesuspectedofhavingmisusedtheP‐Card/CBAwiththeintenttodefraudthestatewillbesubjectedtoaninvestigation.Shouldtheinvestigationresultinfindingswhichshowthattheactionsoftheemployeehavecausedimpairmenttostateservice,andshouldthosefindingsbesufficienttosupportsuchaction,theemployeewillbesubjecttodisciplinaryaction.ThenatureofthedisciplinaryactionwillbeatthediscretionoftheEntity’sAppointingAuthorityandwillbebasedontheinvestigationfindingsandtherecordoftheemployee.AnysuchinvestigationandensuingactionshallbereportedtotheLegislativeAuditor,theOfficeofInspectorGeneralandtheDirectoroftheOfficeofStatePurchasingandTravel.

B. Non‐ApprovedPurchase–apurchasemadebyaStatecardholderforwhichpaymentbythestateisunapproved.Anon‐approvedpurchasediffersfromafraudpurchaseinthatitisanunintentionalmisuseoftheP‐Card/CBAwithnointenttodeceivetheagencyforpersonalgainorforthepersonalgainofothers.Anon‐approvedpurchaseisgenerallytheresultofamiscommunicationbetweenasupervisorandthecardholder.Anon‐approvedpurchasecouldoccurwhenthecardholdermistakenlyusestheP‐Card/CBAratherthanapersonalcard.Whenanon‐approvedpurchaseoccurs,thecardholdershouldbecounseledtousemorecareinhandlingoftheP‐Card/CBA.Thecounselingshouldbeinwritingandmaintainedintheemployee’sfilefornolongerthanoneyearunlessanotherincidentoccurs.The

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employeeshouldbemadetopayfortheitempurchasedinappropriately.Shouldanotherincidentofanon‐approvedpurchaseoccurwithina12‐monthperiod,theEntity’sAppointingAuthorityshouldconsiderrevocationoftheP‐Card/CBA.Consequencesforeithertypeofpurchasementionedabovemustbeclearlydocumentedintheagencypolicyandfullyexecutedwhenapplicable.

C. MERCHANTFORCEDTRANSACTIONSCommercialcardsareacceptedbyavarietyofmerchantsthatprocesstransactionsonlyifapprovedbytheissuingbanktherebyabidingbythecardcontrolsinplace.Merchanttransactionsareprocessedusingoneofthe2stepsasfollows:1. Merchantsprocesstransactionsagainstcardcontrols(MCC,limits,expirationdate,etc.)

and,ifapproved,receiveanauthorizationnumber.2. Merchantssubmitthetransactionsforpaymentfromthebank.

Inrareinstances,merchantswillcircumventtheauthorizationprocessandonly

performstep2.Thismeansthatthemerchantdidn’tprocessthetransactionagainstthecardcontrolsandthereforedidnotreceiveanauthorizationnumber.

Ifthishappens,themerchanthasforfeitedalldisputerightsandthetransactioncanbedisputedandunlessthemerchantcanprovideavalidauthorizationnumber,thedisputewillberesolvedinthecardholdersfavor.

D. CARDANDWORKSUSERID/PASSWORDSECURITYEachcardholder,CBAadministrator,agencyprogramadministrator,auditor,cardholderapprover,etcisresponsibleforthesecurityoftheircard,UserID(s)andpassword(s),andthereforeshould:

•NeverdisplaytheirCardAccountNumber,WORKSandWORKSWorkflowUserIDnumbersandpasswordsaroundtheirworkarea.

NevershareUserIDsandpasswordsand/orleaveworkareawhileloggedintothesystemorleavelog‐ininformationlyinginanunsecurearea.

•NevergivehisorherCardAccountNumber,UserIDsorpasswordstosomeoneelse.•NeveremailthefullaccountnumbersorUserIDnumbersorpasswordsunderanycircumstances

6. SALES TAX

A. P‐Card/CBAchargesareadirectliabilityoftheState;therefore,LouisianaStatesalestax

shouldnotbechargedoncardpurchases.B. Cardholders shouldmake every effort at the timeof purchase to avoid being charged

LouisianaStatesalestax.C. In the event state sales tax is charged and a credit is warranted, it will be the

cardholder'sresponsibilitytohavethevendor‐merchant(notBankofAmerica)issueacredittothecardholder'saccount.

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D. It is State Policy not to pay Louisiana State sales tax; however, agenciesmay exemptcardholders from obtaining a credit from the vendor‐merchant for state sales taxcharges of $25 or less. If a cardholder continually allows taxes of $25 or less to bechargedtothecard,correctivemeasuresmustbetaken.ItistheAgency’sresponsibilityto monitor these sales tax transactions to ensure corrective action is taken againstrepeatoffenders.

E. SeecurrentStateLiabilityTravelCardandCBAPolicyforstaterelatedtravelexemptionshttp://www.doa.louisiana.gov/osp/travel/corptravcard/travcard‐cbapolicy.pdf.

7. 1099REPORTABLEVENDORSForthisprogram,1099reportingresponsibilityisassumedbyVISA.

8. DOCUMENTATION

A. COMPLETEDOCUMENTATION1. Ensurethatdocumentationisadequateandsufficienttoadheretocurrent

purchasingpolicies,rules,regulations,statutes,executiveorders,StateLiability“LaCarte”PurchasingCardandCBAPolicy,forrecordingofexpendituresintheState/AgencyaccountingsystemandtheStateLiabilityTravelcardandCBAPolicyandPPM49,ifapplicable.OnceanagencyhascompletedimplementationofWORKSWorkflow,theagencymustensurethatallsupportingdocumentationalongwithreceiptsarescannedandattachedtoeachcorrespondingtransaction.Agenciesshouldensurethatimmediatesupervisors/approversareverifyingandensuringthatthesecontrolsarebeingmetandthattransactionsareappropriate,accurate,haveabusinesscaseandbusinessneedforthepurchase,allreceiptdatesandothersupportingdocumentationdatesareapplicablewithknownneedorbusinesstravel,ifapplicable,andapproved.DocumentationofapprovalmustbeaccomplishedbyasignatureonapaperP‐Cardlog,andonceagencyhascompletedWorkflowimplementation,electronicallyonlinebysigningoffonthetransaction.Approvalbytheapprovercertifiesthatthedocumentationisacceptableforeachtransaction,thatitwasforofficialstatebusiness,thatitisincompliancewithappropriaterulesandregulations,etc.,asmentionedaboveandthatithasbeenreviewedandisapproved.

2. Documentationisrequiredforallpurchasesandcredits.Foritemspurchasedoverthecounter,thecardholdershouldobtainthecustomercopyofthereceipt.Whenorderingbytelephone,fax,orcomputer,thecardholdermustobtainapackinglistorsimilardocument.Foritemssuchasregistrations,wherethevendordoesnotnormallygenerateareceiptorpackingslip,acopyoftheorderingdocumentmaybeused.Acceptabledocumentationmust includea linedescription,withfulldescriptionnotageneric“generalmerchandise”description,andlineitempricingforthepurchase.Electronicreceiptsareallowediftheyareun‐editableandaremaintainedincompliancewiththeagencyretentionpolicy.

3. Forinternetpurchases,theprintoutoftheorderconfirmationshowingthedetails,ortheprintoutoftheorderdetails,ortheshippingdocumentif itshowswhatwaspurchased,thequantityandthepricepaidsufficefortheitemizedreceipts.

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4. When the electronic Workflow in WORKS online system is implemented, thecardholder is issued a unique login User ID number, along with a password.Immediate supervisorsordesignatedapproversare toutilize theiruniqueUser IDandpasswordtocertifyandelectronicallysignoffoneachtransaction.(SeeSection5.D)Audit trails existwithin the softwarewith date and time stamps for sign‐offsandapprovals.

5. Theagencycardholderapproverswill forwardall supportingdocumentationalongwith invoices, receipts and signed paper or approved electronic log, by bothcardholderandapprover, and signed statement, byboth cardholder andapprover,and any findings and justifications to the agency’s fiscal office for review and formaintenanceofthefilesinaccordancewithrecordretentionlaws.Thisfilemustbecentrally located in the agency’s fiscal office andwill be subject to review by theOfficeofStatePurchasingandTravel, theLouisianaLegislativeAuditorsOfficeandanyotherdulyauthorizedauditor.

6. Allsystementriesandscannedsupportingdocumentation,whenutilizingWorkflowandelectronicapprovalsaremaintainedelectronicallywithintheWORKSWorkflowonlinesystemforupto3years. Ifanagencyrequiresdocumentationretentionformore than 3 years, it is the responsibility of the agency to obtain and archive thetransactiondataannually.

B. INDIVIDUALCORPORATELIABILITYP‐CARDS

IfarequestismadeandapprovalgrantedfortheP‐Cardtobeusedfortravelexpenses,itwillbeeachcardholder’sresponsibilitytosubmittheirtravelexpenseformandallrequiredtransactiondocumentation(bothpaperandun‐editableelectronic,onceimplementedintoWorkflow),specialapprovals,etc.,timelyandinaccordancewiththeiragency’sinternalpolicytohelpensureitispaidtimelybytheState.

C. CORPORATEBUSINESSACCOUNTS(CBA)

AdministratorsfortheCBAaccountswillmaintainrecords/approvalssufficienttoreconciletheCBAstatementtoensureitispaidtimelybytheState.EachCBAadministratorandtheapproverisresponsibleforensuringthatdocumentationisadequateandsufficienttoadheretoallrules,regulations,laws,statutes,policies,PPM49guidelinesandAccountingguidelinesforrecordingofexpenditures.CBAadministratorsmusthaveanapproverwhoisasupervisoratleastonelevelhigherthantheCBAadministrators.CBAadministratorsaretofollowallindividualcardholderprocedures,trainingsandcertifications,rules,regulations,guidelines,asoutlinedinthispolicyandtheagencypolicy,includingforwardingsignedlogorapprovedelectroniclog,bybothadministratorandapprover,signedstatement,bybothadministratorandapprover,andsupportingdocumentationtoagency’sfiscalofficeforreviewandfilemaintenance.

9. PAYMENTPROCEDURESFORINDIVIDUALP‐CARD,CBAANDEVPACCOUNTSA. PAYMENTPROCEDURES

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TheAgencywillensurethatnecessaryproceduresandcontrolsareinplaceforpromptpayment,reconciliationandcostdistributionofchargesandcredits.Agencyspecificpoliciesandproceduresmustbedeveloped.Thesepoliciesshouldaddressrequiredapprovalsandauthorizingprocedures.CopiesofthispolicymustbemadeavailabletoallprogramparticipantsandotherpersonnelresponsibleforP‐Card/CBA.1. BankofAmericawillsendpaperstatementsand/oranelectronicfilecontainingall

cardholdertransactions.Thesefilesmaybeusedforreportingandreconciliation.

2. ThepaperstatementsandtheelectronicStatementBillingFile,whenapplicable,willbesentafterthecloseofthebillingcycle.PaymentmustbemadeelectronicallytoBankofAmericawithin25daysofstatementbillingdate.

B. ISISINTERFACEAGENCY

1. ThebillingcycleforallISISAgenciesendonthe5thofeachmonth.TheStatement

BillingFilewillbeusedforISISAgenciestocreateaP3(P‐CardVendorPaymentVoucherForm)andinterfacetoAFS.Thisdocumentwilluseeithertheallocatedgeneralledgercodingenteredorthedefault/overrideaccountingcodesassignedtothetransactionatthetimeofinterfacebetweenBankofAmerica(BOA)andISIS.TheinterfacewillautomaticallycreatetheP3documenteachmonth.NoactionisrequiredbyISISAgenciesforpayment.ForagenciesthathaveimplementedtheWORKSWorkflowsystemforanelectronicreconciliationprocess,theagencywilldesignatethoseemployee(s)taskedwithmaintainingtheuserdata,aswellasthosethatwillberesponsibleformaintainingthegeneralledgercodingrestrictionswithinWORKSWorkflow.

2. TheP3documentwilloverridebudgetchecksandcashchecksinAFSandmust

produceanelectronicfundstransfer(EFT)tobesenttoBankofAmerica.TheEFTrequestwillbeprocessedonthe25thofeachmonthtoallowfortimelypaymentsthroughouttheyear.

C. NON‐ISISINTERFACEAGENCY

1. AgenciescanusetheStatementBillingFiletointerfacetotheiraccountingsystem

throughWORKSWorkfloworusepaperstatementsandmustproduceONEelectronicfundstransfer(EFT)toBankofAmerica.

D. LaGOVAGENCY1. ThebillingcycleforallLaGovagencieswillendonthe5thofeachmonth.The

StatementBillingFilewillbeusedtocreatesummaryinvoicesthatposttheliabilitytoBankofAmerica’svendoraccount.Theinterfacewillautomaticallycreatetheinvoicedocumentseachmonth.NoactionisrequiredbyLaGovagenciesforpaymenttooccur.AgencieswilldesignateprogramadministratorstaskedwithmaintainingthemasteraccountingcodeforeachcardholderwithinWORKS.

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2. Theinvoicedocumentmustproduceanelectronicfundstransfer(EFT)tobesenttoBankofAmerica.TheEFTwillbeprocessedonthe25thofeachmonthtoallowfortimelypaymentsthroughouttheyear.

E. EVPPAYMENTS1. Eachworkday,AFScreatesEFTsforthevendorpaymentsscheduledforthatday.

EFTspayabletovendorsthatparticipateinEVParesenttoBOAforpaymentviathevendor’svirtualcreditcard.Journalvouchers(J5)arecreatedandprocessedeachdaytoaccountforthedeferreddisbursementofcash.ThebillingcycleforallISISagenciesendsonthelastdayofeachmonth.Onthe20thdayofthemonth(ortheimmediatelyprecedingworkday,ifthe20thisanon‐workday),informationprovidedbyBOA/WORKSconcerningEVPpaymentsthathavebeendrawnbyvendorsduringthebillingcycleisusedtocreatejournalvouchers(J5)thatreversetheearlierJ5sandpaymentvouchers(P5)thatinitiateacorrespondingEFTpaymenttoBOAthatsameday.TheP5documentswilloverridebudgetchecksandcashchecksinAFS.NoactionisrequiredbyISISagenciesforthispayment,unlessaP5documentisrejectedwhenprocessedbyISIS.TimelycorrectionofrejectionswillbenecessarytoinsurepaymenttoBOAbythepaymentduedateonthe25thofthemonth.

10. RECONCILIATIONANDCOSTDISTRIBUTIONA. Documentationmustbeobtainedindicatingthedateofpurchase/service,thevendor

name,completedescriptionoftheitem,notagenericdescriptionsuchas“generalmerchandise”,purchaseamount,andreceiptdate.ForagenciesthathavealreadyimplementedWORKSWorkflowcardholder/approver/accountantwouldenteraccountingdistributioninformationforfund/agency/organizationnumberandobjectasthesewouldallberequiredintheonlineWorkflowsystem.Reportingcategorysubobjectandactivityareoptional.AgenciesthathavenotimplementedWorkflow,maycontinuetouseapaperlog,pertinentaccountinginformationmayberecordedonthe“P‐CardLog”orrecordinginformationdirectlyonthereceiptfromthevendorforeachpurchase,serviceand/orcreditmadewithP‐Card/CBA.Agencypolicywilldeterminewhoprovidesthisinformationandhowitistransmittedtotheaccountingdepartment.AllsupportingdocumentationincludingreceiptsmustbescannedintoWorkflow,tiedtothetransactionwithoriginaldocumentationforwarded,includingsignedpaperlogorapprovedelectroniclog,byboththecardholderandapprover;thesignedmemostatement,bybothcardholderandapprover,alongwithanyfindingsandjustifications,totheagency’sfiscalofficeforreviewandmaintenanceoffiles.

B. CardholderswillreceivepaperbillingstatementsmonthlyfromBankofAmericawithinapproximately5businessdaysofthecloseofthebillingcycle.Ifthecardholderstatementisnotreceivedtimely,thecardholdermustnotifytheagencyprogramadministratorimmediatelysothatastatementcanbeobtainedforreconciliationpurposes.IftheagencyhascompletedtheimplementationoftheWORKSWorkflowonlinesystem,apaperbillingstatementisnotrequiredtoreviewandapprovethetransactions.Transactionsareavailableforprocessingonlineassoonasthetransactionpoststotheonlinesite.

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C. Thecardholdermustreconcilepurchases/serviceschargedduringthebillingcyclebymatchingthebankbillingstatementtohisP‐Cardlog/record,untiltheagencyhasimplementedWorkflow,orusingtheWORKSWorkflowonlinesystemandthedocumentationobtainedfromthevendors.Thedocumentation(bothpaperanduneditableelectronic,onceimplementationintoWorkflowhasbeencompleted)willbereviewedandcertifiedbythecardholderasreceivedorreportedasadisputeditem.OnceWorkflowhasbeenimplemented,thecardholdermustscanallsupportingdocumentation,receipts,etc.,intoWorkflowandtieeachscantotheapplicabletransaction.Thecardholderthenforwardsallsupportingscanneddocumentationtohisimmediatesupervisor/approver.ForagenciesthathavecompletedimplementationoftheWORKSWorkflowsystem,whenacardholderapprovesatransactiononline,hissignoffmovesthetransactiontothequeueoftheirapprover.

D. Theimmediatesupervisorapprover,whoistobeatleastonelevelhigherthancardholder,mustreviewtheinformationanddocumentationenteredandscannedintoWorkflow,andsubmittedbythecardholder.Theapprover,tobedeterminedbyeachagencywhoshouldbeanimmediatesupervisorandatleastonelevelhigherthanthecardholder,mustverifythatacceptablecompletedocumentationexists(bothpaperanduneditableelectronic,onceWorkflowhasbeenimplemented)tosupporteachpurchase,serviceand/orcredit,verifythatpurchasesareforofficialstatebusiness,andthatpurchases/servicescomplieswithanycurrentPurchasingPolicies,RulesandRegulations,LouisianaStatutes,ExecutiveOrders,StateCorporateLiability“LaCarte”PurchasingCardPolicy,StateLiabilityTravelCardandCBAPolicyand/orPPM49,ifapplicable,asallmustbefollowedduringtheuseoftheLaCartePurchasingCardandthispolicy.TheimmediatesupervisorapprovermustsigntheP‐Cardlogorelectronicallyapprove,onceWorkflowhasbeenimplemented,alongwiththesigningofthememostatementcertifyinghisreviewandapproval.Whilemultipletransactionscanbesignedoffatonetimebyselectingmorethanonetransaction,itistheApprover’sresponsibilitytoverifythevalidityofeachtransaction.ThecardholdershallneverbethefinalapproverofhisownmonthlyP‐Cardlog/onlinetransactions.Allsupportingdocumentation,includingthesignedlogorapprovedelectroniclogandsignedmemostatement,bybothcardholderandapprover,alongwithanyfindingsandjustifications,mustthenbeforwardedtotheagency’sfiscalofficeforreviewandmaintenanceofthefile.

E. Onceallapprovalsandauditsbycardholderapprovershavebeenobtainedandforwardedtotheagency’sfiscaloffice,theagency’sfiscalofficemustreviewreceiptsintheprogramjournalvoucherstocorrectanynecessarycodingchanges.Alldocumentationmustthenbehousedintheagency’sfiscaloffice.

F. Itiscrucialthatallsupportingdocumentation,includingapprovaldocument(s),etc.,besenttotheagency’sfiscalofficeandbemaintainedinonecentrallocationavailabletoauditorsandnotscatteredwithindifferentlocations.

G. Ifitisdeterminedthatpersonalorotherunauthorizedchargesareoccurringonthecard,appropriatesteps,uptoandincludingdismissal,shallbetakentoresolvethemisuse/abuseofthecard.(SeeSection5;CardMisuse)

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H. Uponnotificationbytheimmediatesupervisor/approverthatthecardholderreconciliationhasbeenapproved,theaccountingsectionwillensurethatthechargesaredistributedtotheappropriateaccountingcodes.

I. ItistheresponsibilityofeachagencytocontacttheBankifapaperstatementisnot

receivedtimely.Agenciesshouldcompletethereconciliationanddistributionprocesseseachmonthandpriortoreceivingthenextbillingcycle.

J. ISISINTERFACEAGENCY

1. ISISAccountingsectionsmustreviewtheP3’simmediatelyupontheirpostingand

determineifanydiscrepanciesexistbetweenthebillingstatementandtheP3’s.Ifadiscrepancydoesexist,theagencyAccountingdepartmentshouldcontacttheagency’sprogramadministratorand/orBankofAmericaAccountSpecialisttodeterminehowthediscrepancywillbecorrected.Oncethisinformationisreceived,AccountingmustcontactOSRAP(225)342‐1053.OSRAPwillthendetermineifmanualP3’shavetobedeveloped.Thismusttakeplacepriortothe25thofeachmonth.

2. Miscellaneouschargesmadetothecorporateaccountmustbereviewed,approvedandreconciled.MiscellaneouschargeswilleitherdefaulttothePPPPcodeortheoverridecodefromWORKSWorkflowwillbeapplied.AgencyaccountingdepartmentsmustmovethesechargestotheproperORGN.

3. Ifacardholder’sspendingdefaultstoPPPPortheoverridecodeprogrammedinWORKSWorkflow,ratherthantheircorrectORGN,anerrorhasoccurred.TheP‐Cardexceptionsreportandthe1G08reportofdetailedtransactionscanbeusedtodeterminethereasonforacardholder’sspendingorcodingthetransactiontothedefaultPPPPortosomeotherincorrectcode.Theagencyprogramadministrator/accountingdepartmentmusttakestepstoresolvetheitemsonthereportbycontactingthebankandOSRAPifnecessarytocorrecttheroutingerror.Thisshouldbedonepriortoreceivingthenextmonth’sstatementtopreventreoccurringerrors.CardholderswhorepeatedlyhaveallocationerrorsshouldbecounseledandretrainedifnecessaryontheWORKSWorkflowprocessandcoding.

4. ISISAgencieswillprepareajournalvoucherdocument(J6orJ2orcreateaREJ6recordtoautomaticallygeneratetheJ6eachmonth)tocreditthedefaultaccountingcodes(P‐Cardclearingorganizationandobject)anddebittheappropriateorganization,object,reportingcategory,etc.Note:PaymentforallISISAgencieswillbemadeautomaticallyonthe25thofeachmonthregardlessofthestatusofthereconciliationprocess.

5. ISISAgenciesmustreconcilethebillingstatementatthecorporateaccountleveltotheelectronicpaymentmadetoBankofAmerica.Allchargesand/orcreditsshouldbeclearedfromtheP‐CardclearingorganizationseachmonthforISISAgencies.

K. NON‐ISISAGENCIES:Allchargesmadetothecorporateaccountmustbereviewed,approvedandreconciled.Agencieswillreconcileanddistributecoststotheiraccountingsysteminatimelymannerandaccordingtoagencypoliciesandprocedures.Note:reconciliationmaytakeplacebeforeorafterpaymentforNon‐ISISAgenciesbutpaymentshallbetimelyandinfulleachmonth,withONEelectronicfundstransfer(EFT)toBankofAmerica.

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L. LaGOVAGENCIES

LaGov Accounting sections must review the Statement Billing File (SBF) invoice postings to determine if there are discrepancies between the billing statement and the SBF file invoice postings. If a discrepancy exists, the agency Accounting department should contact the agency’s Program Administrator. The Program Administrator will work with their Bank of America Account Specialist to determine how the discrepancy will be corrected. The agency Accounting department will make the appropriate entry in LaGov to correct the discrepancy. This must take place prior to the 25th of each month.

Charges made to the corporate account must be reviewed, approved, and reconciled. The charges will post based on the default assigned in WORKS. The agency Accounting department must move these charges to the appropriate account assignment values (GL/Business Area/Fund/Cost Center, etc.).

If a cardholder’s transaction posts to the default fund/cost center defined in LaGov, then an error has occurred. The Interface error report may be used to identify the reason the transaction posted to the default. The agency Program Administrator and/or accounting department must take steps to resolve the items on the report. This should be done prior to receiving the next month’s statement to prevent reoccurring errors. Cardholders who repeatedly have allocation errors should be counseled and retrained, if necessary, on the WORKS coding.

LaGov agencies will enter a journal voucher to credit the default account codes and debit the appropriate GL/Fund/Cost Center, etc., Note: Payment for all LaGov agencies will be made automatically on the 25th of each month regardless of the status of the reconciliation process.

LaGov agencies must reconcile the billing statement at the corporate account level to the electronic payment made to Bank of America. All charges and/or credits should be cleared from the default account codes each month for LaGov agencies.

M. EVPPAYMENTSVendors who choose the option to enroll with the EVP program are flagged on the ISIS vendor tables to receive their payments through the EVP program of the State with Bank of America (BOA). Agencies will process their payments to vendors for goods and services purchased as usual. The mechanism by which vendors get paid will be determined by a flag on the vendor table as currently done. If a vendor is flagged as an EVP vendor, payments to the vendor will be made through the EVP process without the agency directing this means of payment. The EVP program allows vendors to be paid through the vendor’s virtual account with BOA. An electronic mail is generated and sent to the vendor to notify them of the availability of payments and the availability of funds placed in their account for withdrawal. State agencies will notice movement of cash from Cash Account 6000 (ISIS Disbursement Cash Account) to cash account 6PCD (Cash P-Card Tier II). The cash account 6PCD will be reduced when vendors draw down their funds from their virtual accounts with BOA for the invoices they have paid, and when the BOA bill is paid. Agencies do not need to approve any of the transactions in the system after approving the payment voucher they always prepare to make payments.

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For internal control purposes, agencies must monitor their cash position, monitor their outstanding payments, and vendor draw downs through WORKS. For ISIS agencies, a 1G64 report will be generated that will provide detail of the EVP transactions daily. OSRAP will also be responsible for reconciling the cash account 6PCD with transactions from the BOA paid/billing file. BOA has also created standard reports in WORKS that will allow each agency to see their EVP payments. These reports will help agencies reconcile outstanding EVP to their 6PCD cash account and also to see what payments are still outstanding (much like the outstanding checks report). Control Agencies like Office of Statewide Reporting and Accounting Policy (OSRAP) and the State Treasurer’s Office (STO) will have access to reports in WORKS that will allow them to see EVP activity by all state agencies.

11. WAIVERS

A.EXCEPTIONS

1. TheDirectorofStatePurchasingandTravel,ordesignee,maywaiveinwritinganyprovisionsoftheseregulationswhenthebestinterestoftheStatewillbeserved.

TheDepartmentHeadandAgencyProgramAdministrators,bysigningthisPolicy,acknowledgeandacceptresponsibilitiesintheadministrationofthisprogramasoutlinedherein.

__________________________________ _____________________________________________DepartmentHead LaCartePrimaryAgencyProgramAdministrator _____________________________________________ LaCarteSecondaryAgencyProgramAdministrator___________________________________Agency___________________________________Date