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Policy Statement & Purpose

The Seattle Pacific University Purchasing Card (P-Card) is a convenient and efficient method of purchasing specific goods and services while ensuring compliance with all relevant University policies and regulations. P-Cards are generally to be used for low-value, low-risk expenditures.

SPU is responsible with managing its resources with fiscal prudence and in conjunction with legal and regulatory standards. This policy outlines permissible uses of a P-Card and defines relevant purchasing and approval measures.


Entities Affected by Policy

All University Faculty and Staff.


Eligibility

Prospective P-Card holders are required to meet each of the following requirements:

  • A full-time or part-time faculty or staff member of Seattle Pacific University

  • A United States resident

If you meet these eligibility requirements, then please follow the Purchasing Card Registration Process.

Students and temporary faculty & staff are not eligible to hold an SPU P-Card.


Training

Approved cardholders will be required to attend a live training session.


Responsibilities of a P-Card holder

Individual P-Card holders are personally responsible for managing their assigned P-Card, ensuring that all transactions carry a legitimate business purpose, and regularly reviewing and reclassing completed transactions. P-Card holders must adhere to the following rules and responsibilities:

  • Obtain receipts:

    • WA State Department of Revenue requires all purchases regardless of location to have sales or use taxes paid.

    • If there is no sales tax included on your receipt, contact Finance.

  • Reclassify the expenses each month.

  • Submit all receipts to Finance.

    • Please note: Previously, receipts were only required if expenditures related to lodging, were grant-related

    expenditure, or if >$75
    • , or exceeded $75. As of 10/21/2024, Finance is requiring that all receipts are delivered to the Finance office.

  • Keep your card safe; do not share the use of your card with anyone.

  • Report missing or stolen cards immediately to the bank and inform Finance (pcard@spu.edu).

  • Inform pcard@spu.edu when you are leaving the organization or if you are changing roles within the organization.


Appropriate Uses of a P-Card

University P-Cards are to be used for legitimate business purposes only. Examples of appropriate uses of P-Cards include:

  • Conference registration fees

  • Subscriptions

  • Local purchases where there is no time to wait for next day delivery

  • Small dollar purchases when a purchase order (PO) is not necessary

  • Local food and entertainment department expenses when in compliance with LINKthe Travel & Entertainment Policy

  • Travel related expenses, such as hotel accommodations, car rental, taxi rides etc. in compliance with LINKthe Travel & Entertainment Policy


Inappropriate Uses of a P-Card

University P-Cards are not to be used for personal purchases; cash advances and cash refunds are prohibited. Examples of inappropriate uses of P-Cards include:

  • Personal purchases

  • Amazon purchases

    • Please note: All Amazon purchases must be made through SPU’s central Amazon Business account as of 10/18/2023. For more information, please visit the Amazon Business wiki page: Amazon Business

  • Any item exceeding the card’s pre-established transaction limit

  • Cash advances

  • Excluded, high risk merchant categories codes (MCC)

  • Alcoholic beverages (see LINKthe Travel & Entertainment Policy)

  • Purchases split into multiple transactions to bypass the single transaction dollar limit


Transaction Limits

Purchasing cards have a single-purchase limit of $2,000 and a monthly limit of $5,000.

Alternative transaction limits may be granted (temporarily or permanently) in special circumstances. Please reach out to pcard@spu.edu regarding any related inquiries.


Required Documentation

The IRS requires the University to retain records as follow:

  • Items with a value of more than $75.00Please note: Previously, receipts were only required if expenditures related to lodging, were grant-related, or exceeded $75. As of 10/21/2024, Finance is requiring that all receipts are delivered to the Finance office.

  • All receipts related to lodging.

  • Names of all attendees (first and last names) at a business event or meal/refreshment.

    • Note, the : The IRS only requires the total number of attendees if it exceeds ten attendees. However, per the University policy, list names of all attendees.

A credit card statement is not considered an adequate record for IRS purposes.


Credit Card Security

Keep your Visa purchasing card in a secure location and safeguard your account number at all times. You, as the cardholder, should be the only one using the card.


Consequences of Non-Compliance

In the event that a P-Card holder violates the SPU P-Card policies and procedures, the cardholder may be subject to any of the following sanctions if deemed appropriate by the University:

  • Permanent revocation of P-Card privileges.

  • Assignment of wages for repayment of discrepancies.

  • Disciplinary action up to, and including, termination of employment and legal action.

If a P-Card holder fails to submit statements and receipts to Finance within 60 days of the statement date, then P-Card purchases may be taxed on the cardholder's next payroll. These expenses are considered out of compliance with the accountable plan date-related safe harbors.


Audits

To ensure the continued success of the P-Card program, and in order to meet SPU’s audit requirements, periodic audits of cardholder transaction files will occur. The primary purpose the audits are to ensure the following:

  • P-Card purchases reflect legitimate business needs of the institution.

  • P-Card purchases adhere to University purchasing policies (insert purchasing policies).the SPU Purchasing Policy

  • Accurate reviewal and approval processes are being regularly conducted.

  • Expenditures are being accurately reclassed and reallocated.


Contact Information

For all P-Card related inquiries, please contact the SPU Purchasing Card Administrator at pcard@spu.edu

Table of Contents

Table of Contents
stylenone
(Triennial?)

Policy Version: 1.01

Responsible Office: Finance

Responsible Executive: VP Business & Finance

Effective Date: 4/5/2024

Next Review Date:

4/5/2027