2.20 University Purchasing Card

Effective: 03/05/2025
Senate Proposal: No
Responsible University Officer: Chief Financial Officer
Responsible Office: Financial Services and Operations

Policy Statement

The University Purchasing Card (PCard) Policy and Procedures outlines the guidelines and responsibilities for the use of PCards at Michigan Tech University. 

Policy Requirements

The University Purchasing Card is intended to streamline the procurement process for low-dollar, low-risk goods, services, and travel expenses. It eliminates the need for small-dollar requisitions and check requests, resulting in quicker turnaround times, greater ordering flexibility, and reduced paperwork.

The PCard is a privilege granted to active full-time faculty and staff in good standing with the university. All items purchased using the PCard are the property of Michigan Tech University and must be used responsibly and in compliance with university policies.

The PCard must not be used for personal purchases, chemicals, capital assets, IT and software-related items, or any other items designated as prohibited in the university’s restrictions. Cardholders are responsible for reviewing and adhering to the university’s list of prohibited items.

Transactions made using the PCard are subject to periodic audits by the Department of Internal Audit. The PCard administrator also conducts compliance reviews to ensure adherence to university policies. Suspected misuse or questionable activity will be investigated further by the PCard administrator and/or the Department of Internal Audit. Violation of the PCard policy and procedures may result in loss of this privilege.

Fraudulent or intentional misuse of the PCard, including personal purchases, will result in revocation of the card, possible criminal charges, and disciplinary actions up to and including termination.

Cardholders should be aware that there is no expectation of privacy regarding PCard documentation or transaction records. The university retains the right to modify this policy and associated procedures at any time.

It is the responsibility of both PCard users and their approvers to remain informed about the current policies and procedures to ensure compliance with university guidelines.

Purpose

The PCard is intended to streamline the procurement of low-dollar, low-risk goods, services, and travel expenses, reducing paperwork and improving efficiency. All purchases made with the PCard are university property and must adhere to university policies.

Scope

This policy applies to all faculty and staff who are requesting or who have been issued a University Purchasing Card, as well as those who review and approve PCard transactions.

Related Policy Information

2.20.1 University Purchasing Card Procedures

2.0 Business and Finance

2.10 – Selection of Vendors

2.14 Information Technology Procurement

Exclusions

University PCard use may be extended to temporary employees, such as research assistants or office staff, under strict departmental and PCard administrator approval and with additional oversight. In such cases, the department is required to ensure adherence to all PCard policies and procedures and take responsibility for compliance and reconciliation of transactions.

Contacts

Definitions

Cardholder – The individual to whom the PCard is issued.

Users – An authorized individual entrusted with the responsibility of making purchases on behalf of the university. The user is expected to follow all relevant policies and procedures, ensure purchases are necessary and appropriate, maintain accurate records, and safeguard the card against unauthorized use.

Approvers – Individuals responsible for financial oversight and ensuring compliance with University policies and procedures. This includes the Cardholder’s supervisor and Department Dean/Chair/Director or higher, as well as the financial manager and/or grant manager associated with the index to which the charges are allocated.

Business Purpose - A required statement that adequately describes the expense as a necessary, reasonable and appropriate business expense for the University. All expenses must support or advance the goals, objectives and mission of the University.

Purchasing Card (PCard) – A credit card issued by the University to specific faculty/staff. The PCard does not affect the credit score of the individual to whom the card is issued.

Full-time faculty and staff – Active employees with a primary position and access to the University’s SSO and the Concur system.

Good standing – Active employees without any PCard violations.

Concur – The online platform used for allocating and approving PCard transactions.

Responsibilities

The department responsibilities include but are not limited to the list below. 

Financial Services and Operations – Enforce University Policy to protect the financial integrity of the University.

Internal Audit – An independent unit at Michigan Tech responsible for objectively examining and evaluating University activities, including compliance with the purchasing card policy.

Public Safety and Police Services – Enforce University Policy or State Law and investigate any violations. Properly document any violations and forward to the appropriate department.

University Financial Managers - Review and approve PCard transactions in Concur and ensure all transactions are supported by detailed receipts and a Business Purpose. 

Sponsored Programs Accounting - Review and approve any PCard transactions that have been assigned to a grant or contract in Concur and ensure all transactions are supported by detailed receipts, including a Business Purpose, and are allowable under the terms of the grant or contract.

Procedures

In support of this policy, the following procedures are included: 

Forms

In support of this policy, the following forms/instructions are included: 

History

Adopted: 03/05/2025 - Approved by President's Council