Procurement Card Guidelines

The CSU’s authority to obtain goods is granted under Public Contract Code Section 10295. The Director of Contracts, Procurement serves as the procurement card Administrator for the procurement card program. The procurement card Administrator or delegated designee issues, monitors and regulates the procurement cards as well as assists campus users with any questions related to the program. The program Administrator may designate certain responsibilities to designees across the campus.

Part‐time or full‐time faculty, and staff members are eligible for the procurement card. The procurement card Administrator evaluates the business justification supplied by the applicant in determining whether a card should be issued as requested.

Purchasing has implemented internal controls as regulated by the Chancellor’s Office that mitigate procurement abuses, comply with Trustee policy, ensure observation of good business practices, and provide appropriate checks and balances.

As a Cardholder, you are responsible for ensuring all your purchasing transactions are in compliance with State and Federal laws, including conflict of interest laws and any potential impact your purchase may have on personal financial interests. Is the purchase appropriate for the University and does it have a valid business purpose?

SB/DVBE

As a state agency, the University is required to meet SB/DVBE annual goals. The state of California requires the university to spend a minimum of 25% of our business with Certified Small Business (SB) suppliers and a minimum of 3% with Disabled Veteran Business Enterprise (DVBE) suppliers. When you are making purchases on the procurement card please solicit California Certified SB and/or DVBE companies whenever possible.

Buy-Recycled

It is the CSU’s policy to promote environmentally responsible procurement practices.  Campuses are encouraged to comply with the Buy Recycle Campaign requirements by developing procedures that ensure the purchase of goods that contain recycled content or that may be recycled or reused when discarded.

For more information please visit our Buy-Recycled web page.

Sustainable Practices

Contracts & Procurement seeks to increase awareness and enable the purchases of products with a reduced or minimal environmental impact as compared to other similar products/services that serve the same purpose. Faculty and staff can have a significant impact on the environment by simply selecting green products to meet their purchase requirements.

For more information about how you can contribute to improving the environment please visit our website.

Eligible employees should follow the steps below to request a procurement card. If approved, the default limits are a single purchase limit of $5,000, and monthly credit limit of $10,000.

1. Submit the completed Purchasing Card Application.       
2. Once approved, the cardholder and their approver must complete the required ProCard Training in CSU Learn. The procurement card shall not be issued until the training is completed by both the cardholder and approver.

Cardholder Responsibilities

Usage
It is the Cardholder’s responsibility to ensure that the procurement card is used in accordance with the procurement card program guidelines, and that all purchases are in compliance with CSU Contracts and Procurement policies and procedures outlined on this site and by the CSU Contracts and Procurement Policy - Section II. Procedure Subsection F. Procurement Cards.

Security
The Cardholder must protect the card at all times to prevent unauthorized use. The procurement card may only be used by the Cardholder of record, and the Cardholder shall not share their card or delegate other individuals to use the card. The Cardholder is responsible for all transactions conducted using the card. The procurement card Administrator must be notified immediately when a Cardholder transfers to another department or separates from University employment.

Reconciliation
The Cardholder is responsible for completing the monthly reconciliation of the card as detailed in the ProCard Reconciliation Submission Guide. The completed reconciliation packet must be submitted by the due date announced to all Cardholders every period.

Training

The procurement card shall not be issued until the appropriate Cardholder and Approver training has taken place. The Cardholder must submit signed documentation that the campus training was provided on applicable policies, procedures and acceptable use.

Conflict of Interest
All procurement Cardholders are considered designated employees by the University, and must complete annual conflict of interest training administered by the Chancellor’s Office as well as complete, and submit Form 700 once every year. The notification to complete both shall be sent by Human Resources to all Cardholders.

Approving Official Responsibilities
The Approver is the individual assigned to a Cardholder to ensure compliance with procurement card policies and with CSU, campus, state fiscal and procurement rules by reviewing the transactions on no less than a monthly basis. A Cardholder cannot function as his or her own Approver. An Approver must be a Department Chair or MPP. 

Authorized Procurement Card Purchases
Commodities with a value less than $5,000, and that are not prohibited, should be purchased using the procurement card. Restricted items that fall within this description may be purchased after the proper approvals have been acquired in writing. The written approvals must be submitted in the reconciliation packet.

Splitting purchases to circumvent the $5,000 cap is a violation of this policy. All purchases must be associated with official University business. Any expense determined to be of a personal nature must be reimbursed to the University by the Cardholder. Use of the procurement card for unauthorized, inappropriate, or personal item purchases is a violation. Multiple violations will lead to the loss of procurement card privileges.

Restricted and Prohibited Purchases
The procurement card may be used for the procurement of restricted items once the additional requirement is met. When approval is required to purchase a restricted item, the approval must be in writing and must also include a justification for the purchase. The written approval should be attached to the monthly reconciliation packet when submitted. If a transaction requires a signed contract or agreement, said contract/agreement must be reviewed/signed by the Contracts & Procurement office. It is the responsibility of both the cardholder and approver to ensure the appropriate action has been taken on restricted items.

The following are restricted items that require either pre-approval or a separate process as part of the purchase and reconciliation process:

Off Campus Services:

Over $1,000. Submit an email to procure@humboldt.edu. Written approval and any associated contracts signed by Contracts & Procurement must be attached to the reconciliation packet when submitted.

All On-Campus Services:

All on-campus services must have prior approval from procure@humboldt.edu. Written approval and any associated contracts signed by Contracts & Procurement must be attached to the reconciliation packet when submitted.

Commodities Valued at Over $5,000:

Commodities that qualify for purchase using a procurement card. Submit a quote to procure@humboldt.edu for your card limit to be temporarily adjusted to accommodate the purchase.

Third Party Payment Sites (Venmo, Paypal, Zelle, etc.):

If your purchase requires the use of one of these applications, then pre-approval is required. Third party payment sites should be avoided. Submit an email to procure@humboldt.edu. Written approval and any associated documentation including both a receipt from the supplier and receipt for the third party payment must be attached to the reconciliation packet when submitted.

IT Purchases:

IT Purchases (software, hardware, services, repairs) must be approved by both the ITAR process and Contracts & Procurement before purchase. Approval requests should be sent to procure@humboldt.edu with IT approval, detailed product information as well as a justification for the purchase and any quotation from the vendor. Written approval must be attached to the reconciliation packet when submitted.

Furniture Purchases:

Furniture purchases require pre-approved by Facilities Management. Submit requests via the service request link, and attach the approval to the reconciliation packet when submitted.

Radioactive/Hazardous Materials:

Radioactive/Hazardous Materials must cite “HAZ” in Reference field on procurement card reconciliation, as well as follow all chemical inventory protocol.

Equipment Purchases:

Equipment purchases must be pre-approved by Facilities Management and Contracts & Procurement. Submit requests to Facilities via the service request link, and Contracts & Procurement at procure@humboldt.edu. Attach the approvals to the reconciliation packet when submitted.

Catering Services:

Catering services (on and off campus) require prior approval from procure@humboldt.edu. Vendor must be on approved list. All standard hospitality regulations/documentation requirements must be adhered to. Written approval and any documentation and associated contracts signed by Contracts & Procurement must be attached to the reconciliation packet when submitted.

Facility Rentals:

Facility rentals require pre-approval from Contracts & Procurement. If vendor accepts payment via procard, email procure@humboldt.edu for approval. Include any facility rental agreements as these must be reviewed/signed by the Contracts & Procurement office.

Printing Services:

Printing/copy services (printing, copying, binding, etc.) must be approved by Marketing & Communications prior to purchase. Approval requests should be sent to marcom@humboldt.edu. Written approval must be attached to the reconciliation packet when submitted.

Promotional Items:

Marketing & Communications must approve the use of any Humboldt logos and wordmarks that are printed on clothing or giveaways such as (but not limited to) water bottles, mugs, and pens to ensure appropriate use and consistency with brand standards. Approval requests should be sent to marcom@humboldt.edu prior to placing an order. Written approval must be attached to the reconciliation packet when submitted.

Automatically Recurring Payments:

Automatically recurring payments require pre-approval from the ProCard administrator.  Attach the approval to the reconciliation packet each month when submitted. Note that recurring payments does not apply to utility-type bills such as water, phones, internet, etc. which are encouraged to be paid with a ProCard.

The following items may NOT be purchased by Procurement Card:

• Airline tickets
• Ammunition/firearms
• Animals and animal related products
• Automotive gasoline and oil
• Bottled water
• Capital equipment (property equal to or greater than $5,000)
• Car washes
• Car rental
• Cash advances, cash refunds
• Cellular phones and services (need prior approval from procure@humboldt.edu)
• Cleaning products (restricted for HM500)
• Consulting services, instructors, guest speakers (see above)
• Controlled substances
• Deposits (this does not apply to HMSPF)
• Donations (restricted for HM5xx)
• Funding Platforms, e.g., Kickstarter, GoFundMe, etc.
• Hotels, motels and other lodging expenses
• International Purchases
• Lamps (restricted for HM500)
• Leases and maintenance agreements (see above, (this does not apply to HMSPF)
• Legal services (only applies to HMCMP)
• Meals for travel (shall be borne by employee and reimbursed through Travel Expense Claim)
• Medical services
• Microwaves (restricted for HM500)
• Office decorations (restricted for HM500)
• Parking tickets
• Party favors
• Personal items
• Personal purchases
• Postage and postage stamps
• Prescription drugs
• Public works projects
• Purchases resulting in personal gain
• Purchases that violate CSU, Humboldt policy or procedures
• Refrigerators - unless it's for stockroom/lab (restricted for HM500)
• Rental Agreements (this does not apply to HMSPF)
• Services not explicitly allowed
• Splitting of purchases to circumvent $5,000 spending limit
• Travel or travel related expenses
• White noise machines (requires Facilities' approval)
• Window coverings

1. After the purchase transaction is completed the Cardholder will retain an itemized receipt or invoice. Receipts should be: itemized, include proper amount of charge, prove it was paid, and include transaction date. Packing slips, itineraries, and confirmation notices are not considered valid receipts.
2. The billing cycle ends the 16th (or next business day) of the month. The charges should be loaded and available to reconcile in PeopleSoft the following business day. Business Services will send an e‐mail to all Cardholders providing the date that the reconciliation packet is due.
3. The Cardholder will review each transaction in PeopleSoft, and assign the proper chartfield. A guide outling this process is available here: Accessing ProCard Reconciliations in PeopleSoft.
4. The reconciliation will be submitted through Procard Reconciliation Submission. 

Cardholder Checklist

• Complete and acknowledge required procurement card Cardholder training.
• Ensure all charges adhere to the Procurement Card Guidelines, and procedures are integrated into the use of the procurement card.
• Protect the card at all times to prevent unauthorized use.
• No sharing or authorizing others (subordinates or otherwise) to use the card.
• Immediately report a lost or stolen card to the bank and actively follow bank rules and instructions to clear the charges.
• Review and edit (if necessary): Account, Fund, Department, Program, Class and Project.
• Ensure funding for the purchase is not over-committed and adheres to the spending guidelines per the University Funds Overview.
• Ensure Hospitality charges adhere to CSU Hospitality Policy, and include the Hospitality form, filled out completely, and signed by the Approving Official.
• Verify that any chemical purchase references “HAZ” in the reference field.
• Ensure adequate transaction documentation exists (receipts should be: itemized, include proper amount of charge, shipping, tax, prove it was paid, and include transaction date).
• Ensure if a receipt is lost, a Lost Receipt Memo is included, filled out completely and signed by the Approving Official. Repeated lost receipts will result in the loss of the ProCard.
• Ensure the purchase is shipped to Humboldt. If the purchased is shipped to an address other than Humboldt, the Approving Official must sign-off on the invoice/receipt in acknowledgement/approval.
• Attach approvals when necessary (IT, Facilities, etc.).
• Print reconciliation in landscape orientation.
• Obtain signature from Approving Official or the next higher up administrator.
• Submit reconciliation by provided due date.

Approver Checklist

• Complete and acknowledge required procurement card Approver training.
• Monitor transactions of assigned Cardholder(s) for appropriateness of purchase.
• Ensure all charges adhere to the Procurement Card Guidelines.
• Verify appropriate Account, Fund, Department, Program, Class and Project.
• Ensure funding is not over-committed and adheres to the spending guidelines in the Funds Overview.
• Verify that Hospitality charges adhere to CSU Hospitality Policy, and include the Hospitality form, filled out completely, and signed by the Approving Official.
• Verify that any chemical purchase references “HAZ” in the reference field.
• Ensure adequate transaction documentation exists (receipts should be: itemized, include proper amount of charge, prove it was paid, and include transaction date).
• Ensure if a receipt is lost, a Lost Receipt Memo is included, filled out completely and signed by the Approving Official. Repeated lost receipts will result in the loss of the ProCard.
• Ensure the purchase was shipped to Humboldt. If the purchased was shipped to an address other than Humboldt, the Approving Official must sign-off on the invoice/receipt in acknowledgement/approval.
• Identify possible violations of assigned Cardholder(s) and take appropriate action if violations are found.
• Notify the card program Administrator of changes in departmental program participants.

ProCard Cycle Dates

ProCard 2024-25 Cycle Dates 

Unauthorized transactions on the procurement card may be deemed a violation. In addition to reimbursing the University, a written warning will be issued for a violation. Continual violation of any part of the policy shall result in the revocation of procurement card privileges, and card cancellation.

Violations consist of:

• Procurement card reconciliation report not signed-off by an MPP or department chair
• Procurement card reconciliation report submitted to Accounts Payable past due date
• Default chartfield not updated electronically in PeopleSoft procurement card Adjustment process
• Prohibited purchase(s) made
• Proper supporting documentation, itemized receipt, or lost receipt memo not provided for each transaction listed on the monthly reconciliation report 
• Chemicals purchased are not identified as “HAZ” in reference field, and chemical inventory protocol (future hyperlink) not followed

1st Violation: Written warning to Cardholder and one week to remedy the issue

2nd Violation: Notification to Cardholder and approving MPP or Dean

3rd Violation: ProCard shut off. Area must find another cardholder to facilitate all ProCard purchasing for at least two months.

Using the procurement card to commit or facilitate an act that is in violation of state or federal law will result in the immediate cancellation of the card. A procurement card may also be suspended or cancelled at the behest of an approving official or after a holder transfers departments or separates from the University.

*NOTE FOR SPF PROCARD HOLDERS
Temporary or permanent ProCard suspensions/reactivations are at the discretion of the SPF Executive Director. Failure to submit completed ProCard reports in a timely manner will result in temporary suspension/inactivation until all supporting documentation has been received with accountspayable@humboldt.edu.
More information can be found on their website: https://research.humboldt.edu/award-lifecycle/award-management/reimbursements

Lost Receipt
If the Cardholder loses his/her receipt and or invoice, and a duplicate copy cannot be obtained from the vendor, complete the Lost Receipt Memo. Attach the completed form and submit with your reconciliation. If the Approver and/or Accounts Payable notices repeated lost receipts (> 3) in a fiscal year, they will notify the ProCard Administrator for discussion about revoking the card.

Fraudulent Charges
If a charge is discovered on the statement that is deemed to be fraudulent, the Cardholder must contact U.S. Bank and report the charge by calling (800) 344-5696. The bank could also discover fraudulent activity before the Cardholder does, and will:

1. Place the card under fraud referral status which suspends the card and makes it unusable.
2. Attempt to contact the Cardholder via phone. If the caller is unavailable, a message shall be left only if the Cardholder's voicemail identifies them. If the voicemail does not identify the Cardholder, no message shall be left and the bank may or may not attempt to reach the Cardholder at a different time.

The procurement card Administrator receives a daily report of all cards placed on fraud referral status and will contact a user to notify them of such status, upon which the user should contact the bank for further instruction. The bank will require the Cardholder sign an affidavit attesting to the fraudulent charge. It is important that this documentation be completed and returned to the bank as it is the basis upon which the University is reimbursed for fraudulent charges. A copy of the affidavit must also be submitted with the monthly statement. No vendor contact is required in fraud cases.

Disputed Charges
A disputed charge is not necessarily fraudulent but one whose amount you believe to be incorrect or where goods and/or services were not delivered. The Cardholder is required to contact the vendor for a dispute resolution of the charge. It is the Cardholder's responsibility to monitor and continue the dispute resolution process through application of appropriate credit. In both dispute and fraud instances, the Program Administrator must be notified as soon as the charges are discovered.

If you have any questions regarding the dispute or fraud procedure please contact the program Administrator.

Returns and Exchanges
Arrangements need to be made directly with the merchant by the Cardholder before shipping an item for return. If a replacement item is sent, the merchant will credit the returned item and charge a new transaction, unless there is an exchange of like items. A refund should NEVER be issued in cash – it would be a merchant as well as Cardholder violation to accept it.

If there is a problem with an order or goods are returned or exchanged, keep sufficient documentation of the transaction, including names, dates and conversation results. This information may be needed for a formal dispute.

Declined Transactions
If an attempt to purchase was made with the Procurement Card and the transaction was declined, contact US Bank 24‐Hour Customer Services (800) 344‐5696 for information. The most common reasons for a declined transaction are:

• Cardholder did not activate the account (Cardholder should activate the account immediately when the card is received)
• Cardholder has reached their card transaction/credit limit
• Vendor is classified under a merchant category code (MCC) that is blocked from use (Cardholder should ask vendor to identify the company’s MCC)
• Billing address information provided by the Cardholder does not match that which is on file with the bank
• On phone orders, vendor has incorrectly noted the card number and/or expiration date
• The transmission between the vendor and the bank is down

Note: Contact US Bank Customer Service and find out why the card was declined. Depending on the problem, you may have to contact the program Administrator for appropriate actions.

U.S. Bank (800) 344‐5696, Outside the U.S. (701) 461‐2070 collect.

US Bank is the Procurement Credit Card Contractor that issues the cards to the campus. The contractor provides the cards, monthly statements, assistance in disputing questionable purchases as well as administering a web based program for use by the Cardholder and Program Administrator.

Replacing Procurement Credit Cards
There may be instances where it becomes necessary to replace Procurement Cards or obtain additional cards. It is the approving official’s responsibility to initiate this process.

Reporting a lost procurement card (in this order):

1. Cardholder will immediately contact US Bank 24‐Hour Customer Service at (800) 344‐5696
2. Cardholder will immediately notify program Administrator via e-mail
3. Cardholder will immediately notify their Approver of record

If a procurement card needs to be replaced because it is worn or defective, the approving official should make a written request to the Program Administrator requesting a replacement card.

Please visit our Forms webpage.

1. Can I exceed spending limits?

There may be times when circumstances make it necessary to exceed the set limits. In those cases, if you wish to exceed the limits, you must request an exception to them by submitting a ProCard Account Revision Form.

2. What is a restricted transaction?

Restricted transactions are Procurement Card transactions that require pre-approval in writing or by email. If the restricted item is approved, it is required that the approval email be submitted along with the appropriate support with the CFS ProCard Statement. Restricted transactions must also have an allowable funding source. The purchase must not be made before approval.

Restricted transactions generally fall into one of several categories:

1. A transaction over $5,000
2. Cellular phones and services
3. Computers and IT equipment
4. Furniture
5. Pagers
6. Printing, copying and reprographic work
7. Radioactive/hazardous materials
8. Software
9. Window coverings
10. Items normally supplied by Facilities Services
11. Services on campus
12. Services off-campus over $1,000

3. What is a prohibited transaction?

Prohibited transactions are unauthorized and are never to be used to acquire goods or services regardless of funding source. For a full list of prohibited purchases please review the ProCard Guidelines, Restricted and Prohibited Items section.

4. May I use my ProCard for personal purchases?

Your Procurement Card may never be used to purchase items for your personal use, personal benefit, or for non-University purposes even if you intend to reimburse the University. The purpose of the Procurement Card is for employees to purchase requirements necessary to support the academic and operational needs of the University. You will be held personally liable for any personal or fraudulent use of your ProCard.

5. Can I lose permission to use my Procard?

Yes, if you make an unauthorized purchase or use your Procurement Card in an inappropriate manner you will be subject to disciplinary action, including the possible cancellation of your ProCard.

Permission to use your ProCard could be revoked if you:

1. Fail to submit receipts and other required documentation for each transaction
2. Fail to update each transaction with the appropriate chartfield
3. Make prohibited purchases as defined in the Procurement Card manual
4. Make unauthorized restricted purchases as defined in the Procurement Card manual
5. Make purchases inconsistent with Hospitality Expense Procedures
6. Make personal purchases
7. Share your Procurement Card
8. Split purchases
9. Turn in your reconciliation report late